Legacy Policy Administration Systems (PAS) continue to limit the potential for insurance business expansion, making PAS modernization a growing business necessity.
Fremont, California: According to market trends, the business transition to a basic font administration system is stronger than ever. Legacy PAS systems continue to limit an insurer’s growth potential and ability to achieve digital transformation goals. As the number of carriers implementing core transformation programs grows, it will become increasingly impossible to stay competitive without a modernized core that supports the digital capabilities necessary for market success.
Strategies for Increasing Transformation in Insurance Policy Administration
Choosing between existing PAS systems and a modern new solution is one of the toughest choices in transformation. There are many methods to implement a PAS transformation, including a combination of technology and sourcing techniques.
Developing the appropriate PAS strategy for group insurance requires careful consideration of the business model, strategic priorities, technology requirements, available resources, target timelines, and selection of the most appropriate solutions. A refined SAP approach aligned with strategic business levers can deliver essential functionality that drives meaningful results.
Irrespective of the decision to engage in a global transformation, all insurers in the group must follow the following steps. These efforts not only deliver immediate value by solving some of the most pressing issues facing carriers today, but also provide the foundation for additional benefits realized through PAS transformation now and in the future.
– Develop modular product architecture to improve product structure and streamline business operations.
– Implement digital architecture and reference technology aligned with business needs to develop a vision of core systems and guide future investments.
– Modernize integration and data infrastructures to simplify future investments and provide a framework for data-driven products and customer decisions.
– Create tiered service delivery models that span different cohorts or segments.