A recent survey by SAP, a European multinational software corporation, to 200 insurance executives at the IASA Annual Conference held in June found the factors that are motivating insurance innovation strategies.
Some of the respondents state that they are adjusting products to suit millennials’ needs, developing new products following new technological advances, focusing on the customer experience, while also maintaining a priority to “inject agility and speed throughout their processes” by implementing new technology like cloud computing, the survey discovered.
“Cloud computing has matured and we’re seeing insurers shift from leveraging the cloud for just back-office functions to implementing cloud across the entire organization,” said Ross Orrett, global head of Insurance Industry Innovation and Development at SAP. “Insurers are becoming more adaptable and laser-focused on meeting changing customer needs,” he added.
Here, you will find four ways that the insurance industry is finally moving to the 21st century. (You can see the full report and press release here.)
1) Consumer expectations drive new product development
In a world where consumer-review driven websites are the norm and customer reviews are posted everywhere, it is no surprise that the industry is moving towards meeting consumer expectations, from products to services.
- 34 percent of respondents indicated that rising consumer expectations are their primary driver for new product development.
- 22 percent are driven by changing regulatory demands.
- 20 percent are driven by availability of new technologies.