Q3 | 2018 BPO-BPAAS PROVIDERS FOR L/A AND P/C INSURERS AERIAL IMAGERY IN INSURANCE: OVERVIEW AND PROMINENT PROVIDERS AGILE ADOPTION IN INSURANCE: APPROACHES AND TRENDS INSURETECH FOR INSURERS: 150 STARTUP PROFILES BUSINESS AND TECH TRENDS IN COMMERCIAL LINES 100 DATA, DIGITAL, AND CORE CAPABILITIES FOR INSURERS
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Embed
100 - novarica.com · adoption attributed their successful PAS conversion to this transition. Consolidation of multiple legacy systems was a common theme. Many multi-system conversions
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Transcript
Q3 | 2018
BPO-BPAAS PROVIDERS FOR
LA AND PC INSURERS
AERIAL IMAGERY IN INSURANCE OVERVIEW
AND PROMINENT PROVIDERS
AGILE ADOPTION IN INSURANCE
APPROACHES AND TRENDS
INSURETECH FOR INSURERS 150
STARTUP PROFILES
BUSINESS AND TECH TRENDS IN
COMMERCIAL LINES
100DATA DIGITAL AND CORE CAPABILITIES
FOR INSURERS
2 Novarica Research Quarterly Q3 | 2018
Contents
Council Studies amp SurveysNovarica New Normal 100 Digital Data and Core Capabilities for PropertyCasualty Insurers
Novarica New Normal 100 Digital Data and Core Capabilities for LifeAnnuity Insurers
Insuretech for Insurers 15O Startup Profiles
Policy Administration System Project Metrics
3
CIO Checklists Maximizing the Value of Offshore Resources
7
Executive Briefs amp ReportsAgile Adoption in Insurance Approaches and Trends
Life Core Systems Conversion Key Issues and Best Practices
Beyond UBI Auto Telematics in Insurance
Insurance Digital Strategy Key Issues and Best Practices
ITFM Platforms at Insurers Overview and Prominent Providers
7
Data Strategy for Insurers Key Issues and Best Practices
GDPR for North American Insurers
Digital FNOL Key Issues and Prominent Providers
Aerial Imagery in Insurance Overview and Prominent Providers
Enabling Innovation Vol 4 More Lessons from Silicon Valley
Business amp Tech Trends
Commercial Lines
Defined Contribution Retirement Plans
Personal Lines
10
Welcome to the Novarica Research Quarterly Each issue provides a summary of recently published reports including studies of insurersrsquo technology experiences capabilities and plans from our Research Council business and technology trends CIO best practices vendor information in our Novarica Market Navigators and recent webinars and presentations All of the research summarized here is available for download by our advisory clients at novaricacom Research reports can also be purchased individually
If yoursquod like to learn more or arrange a conversation to discuss any of these topics with our senior team please contact us at inquirynovaricacom or 833-668-2742
Novarica Market Navigators PC Agent Portals
BPO-BPaaS Providers for LA Insurers
BPO-BPaaS Providers for PC Insurers
Reinsurance Management
13
3Novarica Research Quarterly Q3 | 2018
Council Studies amp Surveys
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 41 propertycasualty insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
4 Novarica Research Quarterly Q3 | 2018
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 17 lifeannuity insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
5Novarica Research Quarterly Q3 | 2018
Most research and media focused on InsureTech startups is written for innovators and investors not for insurers This report profiles 150 InsureTech startupsmdashincluding Analytics Arms Dealers Beneficial Bots Creative Carriers and Digital Distributorsmdashfrom the point of view of insurers It focuses on two key questions Does this matter to my company and what can we learn from it
Key Points and FindingsInsureTech is not the same thing as disruption This industry (and the media) tend to link InsureTech and disruptionmdashbut rather than pose a threat to insurers most InsureTechs provide opportunity
InsureTech carriers and distributors focus on customer experience With few exceptions broker and carrier startups take advantage of the insurance industryrsquos failure to build better interactions for consumers
ldquoDoing nothingrdquo is always an option With so much emerging technology and so many startups all insurers must be intelligent when choosing where to focus their attention andmdashjust as importantmdashwhat to ignore
Topicsbull Types of InsureTechs Novarica categorizes the
startup environment for easy classification
bull Engaging with InsureTech Additional approaches to InsureTech involvement exist for companies that are not ready to invest in a startup or startup fund
bull InsureTech Profiles The 150 vendors in this report serve as a starting point for insurers learning about InsureTech
| 87 Pages
Stephanie DalwinsdalwinnovaricacomLead Associate
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
2 Novarica Research Quarterly Q3 | 2018
Contents
Council Studies amp SurveysNovarica New Normal 100 Digital Data and Core Capabilities for PropertyCasualty Insurers
Novarica New Normal 100 Digital Data and Core Capabilities for LifeAnnuity Insurers
Insuretech for Insurers 15O Startup Profiles
Policy Administration System Project Metrics
3
CIO Checklists Maximizing the Value of Offshore Resources
7
Executive Briefs amp ReportsAgile Adoption in Insurance Approaches and Trends
Life Core Systems Conversion Key Issues and Best Practices
Beyond UBI Auto Telematics in Insurance
Insurance Digital Strategy Key Issues and Best Practices
ITFM Platforms at Insurers Overview and Prominent Providers
7
Data Strategy for Insurers Key Issues and Best Practices
GDPR for North American Insurers
Digital FNOL Key Issues and Prominent Providers
Aerial Imagery in Insurance Overview and Prominent Providers
Enabling Innovation Vol 4 More Lessons from Silicon Valley
Business amp Tech Trends
Commercial Lines
Defined Contribution Retirement Plans
Personal Lines
10
Welcome to the Novarica Research Quarterly Each issue provides a summary of recently published reports including studies of insurersrsquo technology experiences capabilities and plans from our Research Council business and technology trends CIO best practices vendor information in our Novarica Market Navigators and recent webinars and presentations All of the research summarized here is available for download by our advisory clients at novaricacom Research reports can also be purchased individually
If yoursquod like to learn more or arrange a conversation to discuss any of these topics with our senior team please contact us at inquirynovaricacom or 833-668-2742
Novarica Market Navigators PC Agent Portals
BPO-BPaaS Providers for LA Insurers
BPO-BPaaS Providers for PC Insurers
Reinsurance Management
13
3Novarica Research Quarterly Q3 | 2018
Council Studies amp Surveys
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 41 propertycasualty insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
4 Novarica Research Quarterly Q3 | 2018
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 17 lifeannuity insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
5Novarica Research Quarterly Q3 | 2018
Most research and media focused on InsureTech startups is written for innovators and investors not for insurers This report profiles 150 InsureTech startupsmdashincluding Analytics Arms Dealers Beneficial Bots Creative Carriers and Digital Distributorsmdashfrom the point of view of insurers It focuses on two key questions Does this matter to my company and what can we learn from it
Key Points and FindingsInsureTech is not the same thing as disruption This industry (and the media) tend to link InsureTech and disruptionmdashbut rather than pose a threat to insurers most InsureTechs provide opportunity
InsureTech carriers and distributors focus on customer experience With few exceptions broker and carrier startups take advantage of the insurance industryrsquos failure to build better interactions for consumers
ldquoDoing nothingrdquo is always an option With so much emerging technology and so many startups all insurers must be intelligent when choosing where to focus their attention andmdashjust as importantmdashwhat to ignore
Topicsbull Types of InsureTechs Novarica categorizes the
startup environment for easy classification
bull Engaging with InsureTech Additional approaches to InsureTech involvement exist for companies that are not ready to invest in a startup or startup fund
bull InsureTech Profiles The 150 vendors in this report serve as a starting point for insurers learning about InsureTech
| 87 Pages
Stephanie DalwinsdalwinnovaricacomLead Associate
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
3Novarica Research Quarterly Q3 | 2018
Council Studies amp Surveys
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 41 propertycasualty insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
4 Novarica Research Quarterly Q3 | 2018
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 17 lifeannuity insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
5Novarica Research Quarterly Q3 | 2018
Most research and media focused on InsureTech startups is written for innovators and investors not for insurers This report profiles 150 InsureTech startupsmdashincluding Analytics Arms Dealers Beneficial Bots Creative Carriers and Digital Distributorsmdashfrom the point of view of insurers It focuses on two key questions Does this matter to my company and what can we learn from it
Key Points and FindingsInsureTech is not the same thing as disruption This industry (and the media) tend to link InsureTech and disruptionmdashbut rather than pose a threat to insurers most InsureTechs provide opportunity
InsureTech carriers and distributors focus on customer experience With few exceptions broker and carrier startups take advantage of the insurance industryrsquos failure to build better interactions for consumers
ldquoDoing nothingrdquo is always an option With so much emerging technology and so many startups all insurers must be intelligent when choosing where to focus their attention andmdashjust as importantmdashwhat to ignore
Topicsbull Types of InsureTechs Novarica categorizes the
startup environment for easy classification
bull Engaging with InsureTech Additional approaches to InsureTech involvement exist for companies that are not ready to invest in a startup or startup fund
bull InsureTech Profiles The 150 vendors in this report serve as a starting point for insurers learning about InsureTech
| 87 Pages
Stephanie DalwinsdalwinnovaricacomLead Associate
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
4 Novarica Research Quarterly Q3 | 2018
The Novarica New Normal 100 (3N100) is a list of 100 technology capabilities that represent the ldquonew normalrdquo for insurers spanning product development marketing distribution underwriting customer engagement billing claims and financeoperations functions They are organized into digital data and core areas
This report explains the 3N100 Framework and provides analysis of deployment and pilot data from a survey of 17 lifeannuity insurers
Key Points and FindingsDigital distribution capabilities are widespread but maturity levels vary Nearly all insurers have transactional agent portals but only about a third consider their capabilities mature
The analytics gap is closing but remains in claims More than two-thirds of insurers use predictive analytics in underwriting But only half as many midsize insurers use it in claims
Midsize insurers are piloting todayrsquos large company table stakes The most commonly piloted capabilities for midsize insurers are in digital and predictive analytics while large companies are exploring AI and other emerging technologies
Topicsbull Using the Novarica New Normal 100 Framework
to benchmark capabilities
bull Current deployment digital data and core capabilities
bull Emerging technologies and current and planned pilot activity How fast will new capabilities become table stakes
Matthew JosefowiczmjnovaricacomPresidentCEO
| 48 Pages
5Novarica Research Quarterly Q3 | 2018
Most research and media focused on InsureTech startups is written for innovators and investors not for insurers This report profiles 150 InsureTech startupsmdashincluding Analytics Arms Dealers Beneficial Bots Creative Carriers and Digital Distributorsmdashfrom the point of view of insurers It focuses on two key questions Does this matter to my company and what can we learn from it
Key Points and FindingsInsureTech is not the same thing as disruption This industry (and the media) tend to link InsureTech and disruptionmdashbut rather than pose a threat to insurers most InsureTechs provide opportunity
InsureTech carriers and distributors focus on customer experience With few exceptions broker and carrier startups take advantage of the insurance industryrsquos failure to build better interactions for consumers
ldquoDoing nothingrdquo is always an option With so much emerging technology and so many startups all insurers must be intelligent when choosing where to focus their attention andmdashjust as importantmdashwhat to ignore
Topicsbull Types of InsureTechs Novarica categorizes the
startup environment for easy classification
bull Engaging with InsureTech Additional approaches to InsureTech involvement exist for companies that are not ready to invest in a startup or startup fund
bull InsureTech Profiles The 150 vendors in this report serve as a starting point for insurers learning about InsureTech
| 87 Pages
Stephanie DalwinsdalwinnovaricacomLead Associate
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
5Novarica Research Quarterly Q3 | 2018
Most research and media focused on InsureTech startups is written for innovators and investors not for insurers This report profiles 150 InsureTech startupsmdashincluding Analytics Arms Dealers Beneficial Bots Creative Carriers and Digital Distributorsmdashfrom the point of view of insurers It focuses on two key questions Does this matter to my company and what can we learn from it
Key Points and FindingsInsureTech is not the same thing as disruption This industry (and the media) tend to link InsureTech and disruptionmdashbut rather than pose a threat to insurers most InsureTechs provide opportunity
InsureTech carriers and distributors focus on customer experience With few exceptions broker and carrier startups take advantage of the insurance industryrsquos failure to build better interactions for consumers
ldquoDoing nothingrdquo is always an option With so much emerging technology and so many startups all insurers must be intelligent when choosing where to focus their attention andmdashjust as importantmdashwhat to ignore
Topicsbull Types of InsureTechs Novarica categorizes the
startup environment for easy classification
bull Engaging with InsureTech Additional approaches to InsureTech involvement exist for companies that are not ready to invest in a startup or startup fund
bull InsureTech Profiles The 150 vendors in this report serve as a starting point for insurers learning about InsureTech
| 87 Pages
Stephanie DalwinsdalwinnovaricacomLead Associate
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
6 Novarica Research Quarterly Q3 | 2018
Core conversions are shifting beyond the scope of policy administration systems Insurers across the board are taking on multi-component core implementations with longer timelines and higher costs
To help insurers benchmark their core system implementations Novarica conducted an analysis of 35 case studies involving a policy administration system (PAS) implementation This report highlights trends in this area and provides metrics around estimated project cost duration and resourcing
Key Points and FindingsSwitching to Agile methodology was both a major challenge and key success factor Insurers that invested in Agile adoption attributed their successful PAS conversion to this transition
Consolidation of multiple legacy systems was a common theme Many multi-system conversions involved consolidating centralizing and streamlining various legacy systems
Multi-system conversions did not necessarily take longer or cost more than single-system conversions Several insurers implemented multi-system conversion projects with relatively short timelines and low cost
Topicsbull Why PAS Conversions Novarica explores why PC
insurers are investing in legacy system replacements
bull Project Metrics Metrics including cost duration and resourcing are broken down
bull Insurer Considerations Key priorities success factors and challenges are reviewed
Tiffany WangtwangnovaricacomAssociate
| 12 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
7Novarica Research Quarterly Q3 | 2018
Executive Briefs amp Reports
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
Agile is now widely accepted across the insurance industry However adopting the Agile methodology takes time and commitment The iterative development with fast failure and fast recovery can be attractive but there are implications to the business and its operations
In turn carriers are at various levels of adoption and maturity full adoption requires changes to traditional budgeting and planning as well as the mindsets of various stakeholders This brief explores approaches to adopting Agile considerations for senior leadership and some of the potential benefits
Understanding the factors that contribute to conversion project complexity and developing a strategy to address each of them is critical to success It is equally important to develop an approach that addresses all product blocks accounts for the time sensitivity of financial transactions and sets guardrails for what is an acceptable balance between automation and manual processes Using best practice approaches increasing the involvement of knowledgeable resources and developing a multi-run approval process carriers increase their chances of a successful conversion
Ken ToffoloktoffolonovaricacomVP Research amp Consulting
CIO Checklists
Paul Vancheri pvancherinovaricacom VP Research amp Consulting
Offshore outsourcing can create tremendous value for insurers Many carriers have moved parts of their IT and operations to offshore captives or partners However outsourcing is not a once-and-done process Ensuring that these investments generate continuous value takes continuous focus Without focus carriers lose productivity costs go up and turnover creeps higher When this happens insurers often react by pulling back on offshoring
Offshoring requires strong teams and hands-on management on both sides of the equation This CIO Checklist can help to run effective offshore operations No matter what level of support vendors offer insurer leaders are accountable for the organization Period This includes the people the success and the setbacks
| 7 Pages
9 Write down the strategy and share it
9 Establish a single leadership thread
9 Develop the global talent team
9 Devote resources to training
9 Focus on change management
9 Measure (almost) everything
9 Move the right work at the right time
9 Go on-site in both directions
9 Transition ownership and decision-making when possible
| 7 Pages | 8 Pages
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
8 Novarica Research Quarterly Q3 | 2018
IT financial management or ITFM is still an emerging capability at insurers Most organizations do not have a formal process to track costs associated with IT systems and services those who do often maintain a high-level record Now insurersrsquo IT organizations are turning their attention to dedicated ITFM platforms that provide cost details by IT service In turn the use of these platforms can help to communicate and demonstrate the value of IT applications
This brief explores the drivers of ITFM platform adoption at insurers their challenges and key platform providers like Apptio Nicus and Oracle
Digital disruptors are entering the insurance market with business strategies based on leading-edge technological capabilities Their presence challenges existing carriers to meet new levels of service customer and agent expectations and to keep pace with an accelerating rate of digital change To remain competitive carriers must develop digital strategies to re-align their organizations focus their IT investments and guide them through the numerous decisions required across digitalization efforts This paper explores best practices digital leaders leverage to effectively shape their digital strategies
The insurance industry has embraced data analytics to drive business results Using large warehouses of internal data augmentation from third-party providers and big data sources data analysts are driving product RampD and predictive modeling as well as influencing strategy at all levels of the organization However many insurers are dealing with the challenges of diverse core systems little data integration and limited agreement on what data assets mean Instead of mining for insights many insurers are still struggling with basic data quality and completeness issues To resolve this carriers need to develop a comprehensive data strategy which looks across the entire organization at people process and technology
First Notice of Loss (FNOL) capabilities can be a key differentiator for PC insurers as initiating a claim represents the critical ldquomoment of truthrdquo at the crux of the insurerpolicyholder relationship To meet enhanced policyholder expectations for digital experiences insurers are leveraging data from sources such as telematics smartphones wearable devices IoT sensors and GPS Carriers can ensure a positive experience and gain internal efficiencies by enhancing the digital capabilities that underpin this interaction
This brief focuses on the impact of digital in PC FNOL and provides CIOs and their business
The European Unionrsquos General Data Protection Regulation (GDPR) aims to allow individuals to exercise control over their data and stipulates rules for anonymizing and purging data upon request Each EU member will create a national supervisory authority to enforce compliance
The law also applies to US firms that do business in the EUmdashand possibly to US firms that do business with EU citizens in the US (The latter is subject to legal disagreement and will need to be tested in court) US carriers must be aware of GDPR provisions and may need to take steps to comply Further the California Consumer Privacy Act of 2018 resembles GDPR though the former is less stringent in some key areas
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Mitch WeinmweinnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Telematics is growing but overall participation remains modest about a third of PC carriers have telematics capabilities live or in pilot and about a third of their policyholders participate in those programs
At the same time vendors and carriers are beginning to move beyond traditional UBI programs to target services that are enabled or closely aligned with telematics especially around claims New apps have started to leverage smartphones for data capture which give insurers and OEMs a convenient platform to bundle these offerings
This report summarizes the state of automotive telematics for the auto insurance industry including recent trends and directions for future development It also surveys major players in the vendor landscape
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Harry HubertyhhubertynovaricacomLead Associate
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
| 7 Pages
| 8 Pages
| 9 Pages
| 9 Pages | 11 Pages
| 12 Pages
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
9Novarica Research Quarterly Q3 | 2018
Novarica recently concluded its fourth semi-annual Silicon Valley Innovation Tour which included the opportunity to lead a delegation of senior leaders through a series of on-site visits to luminary companies in the Bay Area These visits provide an ldquoimmersionrdquo experience into the inner workings of one of the worldrsquos preeminent centers for innovation they explore incubators accelerators venture capital firms early stage startups and mature companies that have managed to retain innovation as a central element of their corporate DNA
This report captures key themes that emerged from our discussions during the visit in the third quarter of 2018
Topicsbull Culture is the foundation for innovation And
culture can be driven by technology
bull Innovation must be driven from the top Corporations develop ldquoimmune systemsrdquo which must be overcome
bull Innovation is fueled by passion The best and the brightest want to be inspired by a great mission
bull Talent acquisition is key even in Silicon Valley Retention also canrsquot be ignored Technology can enhance internal environments to promote both
bull Collaboration is key to innovation Great minds need to work together to innovate but collaboration may not be consistent with virtualization As remote work capabilities increase carriers should make sure to preserve face-to-face interactions
bull Even in Silicon Valley hot spots for talent are emerging The Valleyrsquos unique geography means that innovators align their locations with the talent they seek to cultivate
Insurers are using aerial imagery and drones for post-catastrophe damage assessment property inspection and underwriting Technology providers offer a range of solutions including hardware drone operators software and analytics as well as support and training
The advent of the IoT big data and artificial intelligence (including machine vision) has only increased the amountmdashand the accuracymdashof data available from aerial imagery This brief discusses current insurance use cases for drones regulation impacting this technology and over 15 drone solution providers
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
Emily LecaqueelecaquenovaricacomSenior Associate
| 8 Pages
Rob McIsaacrmcisaacnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Deb Culliton dcullitonnovaricacom VP Research amp Consulting
| 8 Pages
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
10 Novarica Research Quarterly Q3 | 2018
Business amp Tech Trends
Commercial lines carriers are seeing some premium increases are seeking growth through expanded jurisdictions and new products and are adopting analytics more broadly The commercial market is still fiercely competitive Carriers are seeking to drive down the cost of service refine pricing and underwriting and pursue growth especially in the small commercial space
This report provides an overview of commercial lines carriersrsquo business and technology issues data about the marketplace and more than 40 examples of recent technology investments by commercial lines insurers
Key Points and Findings Drones IoT robots and autonomous vehicles are poised to transform the industry These technologies are reducing the need for on-site adjusters and investigators while greatly improving underwriting and pricing as well as lowering claims frequency
Agent portals remain key to customer acquisition and retention and direct sales capabilities will be increasingly important for more transactional products and program business Agents and carriers should be spending their time solving client problems not taking orders or pushing products
Commercial lines carriers are increasingly adopting AI and analytics Carriers are using AI and analytics in claims customer services and underwriting to better predict claims activity improve customer satisfaction and improve risk selection and pricing
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Steven KayeskayenovaricacomAssoc VP Research
| 28 Pages
Martina ConlonmconlonnovaricacomSVP Research amp Consulting
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
11Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPlan sponsors continue to be concerned about compliance Lawsuits over excessive investment fees are growing and ensuring employee financial wellness is of increasing concern to employers
Automated advice continues to grow in the defined contribution space Incumbents have scale and marketing but new entrants are raising the bar for customer experience Declining fees drive the need to serve a larger customer base more cost-effectively to remain profitable
Portal initiatives and communications continue to be vital A focus on participant financial wellness across the board requires effective communications as well as reporting and analytics
In what remains a highly competitive businessmdashwhere scale can have a significant impact on overall successmdashcarriers are focused on driving down costs and attracting new clients all while retaining existing clients and assets through improved insights and investment performance
This report provides an overview of defined contribution retirement plan business and technology issues data about the marketplace and more than 35 examples of recent technology investments by defined contribution retirement plan insurers
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
| 31 Pages
Steven KayeskayenovaricacomAssoc VP Research
Keith RaymondkraymondnovaricacomVP Research amp Consulting
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
12 Novarica Research Quarterly Q3 | 2018
Key Points and FindingsPersonal lines lead the way in industry experimentation with AI A high transactional volume combined with relative simplicity makes personal lines a natural choice for AI usage especially in claims
Personal lines also lead in digitalization Carriers are pushing the envelope in digital self service Carriers are also designing products for digital processes and targeting digitally oriented consumers
Insurers are preparing for a very different world Carriers are hedging their bets against autonomous vehicles by providing a broader range of services to diversify income
The competitive pressures in personal lines have never been more intense Traditional approaches to gain operational efficiency and to segment markets are no longer enough Carriers are investing in InsureTechs to accelerate learning and diversify RampD efforts using AI to speed the claims process deepening their knowledge of the customer reducing earnings volatility through analytics and improving self-service capabilities Core systems remain a high priority to establish a base for future capabilities
This report provides an overview of business and technology issues market trends and more than 50 examples of recent technology investments
Topicsbull Recent market and financial trends
bull Active insurer landscape
bull Technology issues priorities and examples by functional area
bull Top technology priorities for 2018 and beyond
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
Steven KayeskayenovaricacomAssoc VP Research
| 31 Pages
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
13Novarica Research Quarterly Q3 | 2018
Novarica Market Navigators
This report provides an overview of the available agent portal systems and suites for US propertycasualty insurers The report contains profiles of each of 13 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included Appulate Duck Creek DXC eBaoTech Ebix Guidewire Majesco NTT DATA Outline Systems Unqork ValueMomentum VUE and Willis Towers Watson
Chuck GomezcgomeznovaricacomVP Research amp Consulting
| 103 Pages
Chuck RuzickacruzickanovaricacomVP Research amp Consulting
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
14 Novarica Research Quarterly Q3 | 2018
This report provides an overview of 12 BPO-BPaaS providers to North American lifeannuity insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Capgemini Cognizant Concentrix DXC EXL Genpact Infosys BPM NTT DATA SE2 TCS Wipro and WNS
This report provides an overview of 16 BPO-BPaaS providers to North American propertycasualty insurers with a focus on their experience levels in key functional areas The information in this report was collected directly from the providers using a proprietary Novarica RFI The report contains a brief profile of each vendor including a chart detailing the providerrsquos experience levels in specific targeted functions
Providers included Blue Cod Technologies Capgemini CGI Cognizant Covenir DXC EXL Genpact Infosys BPM Innovation Group MFX Seibels Solartis TCS West Point Insurance and WNS
| 49 Pages
| 53 Pages
Jim KlotzjklotznovaricacomVP Research amp Consulting
Jim KlotzjklotznovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
Keith RaymondkraymondnovaricacomVP Research amp Consulting
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
15Novarica Research Quarterly Q3 | 2018
This report provides an overview of the available reinsurance management solutions currently available to US insurers The report contains profiles of each of 15 vendor solutions summarizing the vendor organization technology used differentiators client base lines of business supported deployment options implementation approaches upgradesenhancements and key functionality
Vendors included AdvantageGo DataCede DXC Effisoft FIS InsurIQ NTT DATA Policy Admin Solutions Prevail SAP Sapiens TAI Inc and Tata Consultancy Services Ltd
| 93 Pages
Jeff GoldbergjgoldbergnovaricacomSVP Research amp Consulting
Eric WeisburgeweisburgnovaricacomVP Research amp Consulting
Chuck GomezcgomeznovaricacomVP Research amp Consulting
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS
COMMERCIAL LINES
DEFINED CONTRIBUTION RETIREMENT PLANS
PERSONAL LINES
PC Agent Portals13
BPO-BPaaS PROVIDERS FOR LA INSURERS
BPO-BPaaS PROVIDERS FOR PC INSURERS
REINSURANCE MANAGEMENT
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through research advisory services and consulting
We serve clients in lifeannuityretirement propertycasualty workersrsquo compensation and reinsurance Our clients range from Fortune 100 insurers to small regionals and specialty companies Although most of our clients prefer us to keep their names confidential a partial client roster includes Amica GenRe Penn Mutual ProSight SECURA SunLife and XL Catlin
Our senior team has direct experience as senior IT executives at firms including AIG Arbella AXA Guardian Liberty Mutual MassMutual Marsh Progressive Prudential Voya and others
We publish frequent independent in-depth research on trends best practices and vendors Our research projects are directed by our senior team and leverage the knowledge of more than 300 insurer CIO members of our Research Council All reports are available to our clients without seat license restrictions
Our Strategy-as-a-Service advisory services provide on-demand phone and email consultations on any topic in insurance or technology (as well as full access to our library) Our clients have told us itrsquos like having a team of experts down the hallmdashfor a flat annual fee that is a small fraction of the cost of a single employee
Our consulting services include vendor selection benchmarking project assurance and IT strategy development They are based on our deep knowledgebase extensive relationships personal experience and proven methodologies Our clients get rapid actionable insights and guidance delivered directly by our senior team
copy 2018 Novarica Inc All rights reserved
linkedincomcompanynovarica
novarica
novaricacompodcast
Novarica Inc280 Summer Street 6th FloorBoston MA 022101-833-NOVARICA 1-617-752-3547inquirynovaricacomnovaricacom
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR PROPERTYCASUALTY INSURERS
NOVARICA NEW NORMAL 100 DIGITAL DATA AND CORE CAPABILITIES FOR LIFEANNUITYINSURERS
INSURETECH FOR INSURERS 15O STARTUP PROFILES
POLICY ADMINISTRATION SYSTEM PROJECT METRICS 13
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS
LIFE CORE SYSTEMS CONVERSION 13KEY ISSUES AND BEST PRACTICECS
AGILE ADOPTION IN INSURANCE 13APPROACHES AND TRENDS 3
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS
ITFM PLATFORMS AT INSURERS 13OVERVIEW AND PROMINENTPROVIDERS 1
DATA STRATEGY FOR INSURERS 13KEY ISSUES AND BEST PRACTICES
DIGITAL FNOL KEY ISSUES AND PROMINENT PROVIDERS
GDPR FOR NORTH AMERICAN INSURERS
BEYOND UBI 13AUTO TELEMATICS IN INSURANCE
ENABLING INNOVATION VOL
4 MORE LESSONS FROM SILICON VALLEY
AERIAL IMAGERY IN INSURANCE OVERVIEW AND PROMINENT PROVIDERS