Changes Being Forced on Insurers as Several Orthodoxies Traditionally Underpinning the Industry are ChallengedThose without strong leadership structures in place will be challenged in a new age of insurance
September 28, 2017 — MORRISTOWN, N.J.–(BUSINESS WIRE)–A new thought leadership report sponsored and published by Majesco (NYSE MKT:MJCO), a global provider of core insurance software and consulting services for insurance business transformation, titled Changing Insurance for the Digital Age, was co-written with David Smith, CEO of Global Futures and Foresight (GFF).
The report provides GFF’s view on the disruption and change within the global insurance market, with Majesco points of view highlighted. Mr. Smith is the keynote at Majesco’s upcoming customer conference, Convergence 2017, on October 1-3, 2017 and will be discussing the content in more detail along with action steps each insurer can take.
“Structures and processes within the organization must address the key problems insurers face, from customer experience to technology and new business models,” commented Smith. “There is little evidence – across all industries – that structures supporting future leadership are in place; whilst the future is digital, only 5 percent of organizations possess a strong digital leadership development program, 65 percent have no such program, and 30 percent admit to having a weak or very weak leadership pipeline. Existing IT departments may not have the expertise or time to handle the sizeable technical aspects of digital transformation. Insurers could therefore look to partner or invest in third parties with relevant expertise.”
Confronting deep-seated change
The report notes that players across the range of insurance industry segments are being confronted with deep-seated change in consumer behavior, employee expectations, rapidly evolving technology and a quickening of the business environment. Opportunities will increasingly need to be ‘discovered’ since technology alone does not constitute a strategy nor is it plug and play in the sense that a new tech overlay cannot compensate for a fundamental legacy infrastructure – whether mindset, technology or organizational.
Furthermore, the report highlights that change is being forced on insurers, whether they like it or not, as several of the orthodoxies traditionally underpinning the industry are being challenged and disrupted. Consumer expectations are increasingly being set in unrelated or adjacent industries, technologies allow start-ups to compete using customer-centricity as opposed to tradition as their value offering, while a new insurance paradigm is being crafted regardless of whether incumbents choose, or are able, to play in this area.
“It is a new age of insurance — a digital age. Each and every day, insurers must recommit to their business strategies and their renaissance journeys,” commented Denise Garth, SVP of Strategic Marketing, Industry Relations and Innovation at Majesco. “Insurers must avoid falling into an operational trap or resorting to traditional thinking. Rising to the competitive forefront requires companies to rethink their business models and realign them with the customer needs and the expectations of those who will be their customers for the next 10-20 years, not those from the past 10-20 years.”
The new thought leadership report, Changing Insurance in the Digital Age, is available on the Majesco website to download, or you can request a copy via email, [email protected]
About Global Futures and Foresight
Global Futures and Foresight is a research and consulting organisation that helps organisations be better prepared to embrace change, innovate and develop new strategies and solutions and helps clients to avoid the risk of being blindsided by external disruptive change. For more details, contact at www.thegff.com.
Insurance business transformation is a journey of change and revitalization, a renaissance of Insurance. Approximately 150 insurance companies worldwide in P&C, L&A and Group/ Employee Benefits are transforming their businesses with Majesco’s solutions. Our market leading software and consulting services uniquely underpin the entire insurance value chain and are designed to empower insurers with the agility, innovation and speed needed to meet their transformation opportunities. Majesco’s solutions include policy management, new business / underwriting, rating, billing, claims management, distribution management, BI/ analytics, predictive modeling, digital platform with mobile and portal, testing services, cloud services, bureau and content services, transformation services, consulting services and more. For more details on Majesco, please visit www.majesco.com.