Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Life Health > Life Insurance

Insurers continue to rely on homegrown IT systems

By 4-Traders staff writer

X
Your article was successfully shared with the contacts you provided.

More than three-quarters of life and P&C insurers’ core information technology systems remain homegrown, according to a new report.

Insurance Global Operations (IGO) announced this this finding in research focused on core insurance processing systems in the US. Two hundred P&C and Group Life carriers were surveyed via phone interviews with questions focused on numbers, satisfaction levels, and ages of existing claims and policy administration systems, along with system and organizational challenges and planned initiatives.

A total of 123 P&C carriers and 77 Group Life carriers participated in the survey, which was performed by an independent third-party market research organization. IGO chose to survey both P&C and Group Life carriers to validate its assumption that satisfaction levels, challenges, and initiatives were similar between the market segments — even given the differing lines of business, existing core systems, and functionality and processing needs.

Although carriers have made heavy investments in core legacy replacement initiatives over the past decade, the research results show a continued heavy reliance on in-house developed systems, with Group Life carriers reporting more than 75 percent of core systems as in-house/homegrown, compared to P&C carriers at over 55 percent. Other survey results were relatively consistent between the P&C and Group Life carrier segments.

Read the full report here.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.