I’m a Trekkie and a pretty obsessed one at that. There is something both thrilling and daunting about contemplating the navigation of the vast universe in a spaceship, hurtling towards mysterious adventures. It’s the ultimate quest to face the unknown, and constantly solve problems under pressure — by breaking down momentous difficulties and dilemmas into smaller, addressable tasks. The Enterprise needed to rely on the intellect and spirit of its crew, as well as on highly advanced technology, to beat seemingly insurmountable odds, while confronting the huge challenges of the “final frontier.”
If you are wondering what Gene Roddenberry’s extraordinary creation has to do with insurance, humor me and I’ll explain.
Not long ago, PwC summarized the key issues that will impact commercial insurance companies between 2016 and 2020: data, products and pricing discipline, corporate development and talent management. Today, those formidable issues remain highly pertinent for the insurance industry. Consider for example:
- New sources of liability continue to pressure product strategy; amid the constant exertion to reduce expense, how do insurers transition to developing competitive solutions for the sharing economy?
- Metamorphosis of data as it goes through the insurance value chain requires high quality and fidelity whilst it is augmented; what does this mean for managing bid data volume, variety and velocity?
- Is there value in looking at Blockchain technology when the Policy Administration System has not been updated in the last few years?
- What is the best way to serve proactive policyholders who are much more aware and involved?
- The challenge of having an effective cost ratio while ensuring talent can be retained; do insurers need Robotic Process Automation, when the operations team is efficient?
- Smart and connected devices that generate large volumes of rich data; how is the Internet of Things related to insurers’ product strategy?
Such developments underscore the disruption impacting the industry and at least partially account for the increase of InsurTech insurgency and innovation. A rapidly accelerating convergence of insurance operations, digital enablement and advanced technology is forcing the traditional insurance ecosystem to adapt swiftly.
To evolve and transform proficiently, insurers are optimizing operations and engaging with partners that can effectively blend “people” and “process” with “technology.” Such partners must not only be proficient with technology trends but also with multifaceted insurance workflows and the associated national and regional regulatory environments.
By now, you may be feeling like Captain Jean Luc-Picard, embarking on yet another mission to boldly go where no one has gone before. Some key questions you must address: What is the makeup of your crew and especially, who is your Lieutenant Commander Data?
Contact Xceedance to discuss your data and technology strategy.