Technology- THE BACKBONE OF AN INSURANCE COMPANY

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TECHNOLOGY TRENDS IMPACTING YOUR LANDSCAPE: With evolving needs, the technology platform must be evaluated with the following criteria: Availability of a flexible technology deployment model. Ability to ensure flexible implementation of processes and policies. Availability of infrastructure that is conducive to enable innovation. Ability to evolve new user experiences. Ability to implement new pricing models, launch new products quickly, as customer preferences drive the buying behaviour. Ability to take effective business decisions with access to analytics. INTERNET COMPUTING: As geographical expansion and the ability to rapidly increase the scale of operation become imperative, it might be worth exploring the possibilities of moving the infrastructure to the cloud and virtualize the current technology assets. This would in turn lead to: Speed to market utilising cloud or virtualisation. Eliminate or reduce infrastructure capital and ramp-up. Enhance user experience for customers, agents and brokers for new business and client servicing. Lead to exciting and easy to use experience, to draw customers to internet presence for quotes, comparison quotes and new businesses. Enhanced channels for interaction with the value chain brokers, agents, re-insurers, marketplaces, other medium of sales and service. Ability to move core and niche areas of the insurance business to BPO models. MOBILE COMPUTING AND DOORSTEP INSURANCE: Mobile channels can become a highly differentiated channel for core business. Common transactions such as payments, alerts and loss submissions if enabled through the mobile, become competitive differentiators. Insurance carriers can also reach emerging markets where mobile devices and cellular coverage exceed traditional connectivity. Retaining and capturing distribution channel resources would be possible (with much ease) with mobile features for their field force. The ability to deliver just-in-time account and product information would enable a tailored coverage experience whilst interacting with customers in the field.

ANALYTICS: Whilst the deployment of such technology simultaneously improves underwriting data at much lower costs, the technology platform would be handicapped if not equipped with a strong analyticsengine. A strong business intelligence and data analytics platform would provide one with the ability to define new products and bring about underwriting excellence through rule and analytics based decision-making. Increasingly, data would be used to drive

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Technology- THE BACKBONE OF AN INSURANCE COMPANY

the behaviour of systems and users. Data analytics of customer profiles, products, policies and claims data allows one to examine customer demographics and enables him to discover new markets, products and segments. The ability to segment claims for optimized assignment, routing and straight through processing would enable quicker fraud detection and produce real-time fraud scoring outcomes. Product pricing and customer profiles could be leveraged to produce a customized product and create a buying experience for clients. COLLABORATIVE COMMUNICATION: The way we communicate has changed with time. We now have to go to the forums, which are frequented by the clients. Social media, community forums and collaborative tools are the new environment in which we need to operate. These come with significant opportunities and threats, but the underlying possibilities are: The ability for insurers to provide innovation programs and social networking tools as part of their communication and collaborative process. Enable the movement of highly skilled adjusters and agents via a collaborative communication framework to a centralized model, allowing lower-cost field resources to tap into their knowledge base. Enable accuracy in underwriting decisions, loss decisions and interactive customer servicing models. Extend distribution channels beyond traditional media channels and social network to promote and capture new business and retain existing clients and channels. Tracking social media enables better fraud detection. Increasingly, insurers are tracking social media accounts to detect physical activity- for instance, when someone files a claim in case of disability insurance. SECURITY IMPERATIVES: As we adapt our technology platform to more channels of interaction, we expose ourselves to cyber threats and risks of compliance with regulatory mandates on data privacy and residency. It is important to take this into consideration whilst planning technology framework and adopting a new technology. A thorough study of what information is being exposed, the way it is being transmitted, how the data is being hosted and encrypted should be conducted and a mitigation strategy for the same should be put in place at the time of its inception. BUSINESS AGILITY IS NO LONGER A LUXURY! Interestingly enough, the knockdown criteria for most CEOs deciding to proceed with technology transformation include: Ability Ability Ability Ability to to to to increase response levels. increase revenues. scale cost-efficiently. integrate and align processes.

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The ability of an organisation to adapt rapidly and cost efficiently in response to changes in their business environment would determine their ability to grow and sustain their business model. This would not be possible without appropriate tools and technology since technology will always facilitate business agility. CLIENTS Increase protection and transparency Increase entry barriers for competition Increase customer retention & personalisation COSTS Predictable Sustainable Matched to cash flows Reduced implementation timeframes RISKS Minimise compliance and security challenges Risk & compliance systems include corporate actions, approval workflows, compliance and anti-money laundering checks OPPORTUNITIES Enhance service levels Focus on core competency Launch new products and services POSSIBILITIES Actuarial modelling Mobile insurance 3rd party transactions E-Quotes Remote claims adjusting POS Database uniformity

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Technology- THE BACKBONE OF AN INSURANCE COMPANY

Database uniformity KIOSKS CRM

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