DIGITISATION OF SERVICES: HOW THE INSURANCE MARKET IS CHANGING

Challenged by constantly evolving regulations and consumer requirements that call for a better harmonisation of information systems and more flexible services, the insurance market has to acquire integrated solutions to deal with the developments in its sector.

The transformation implemented within companies in the sector (access to services that allow the end user to be more in control of their needs, ever more competitive offers, need for transparency, etc.) is accompanied by the need to develop their internal policies and acquire specific technologies.

The developments observed in the field of banking/insurance are, indeed, tending towards the implementation of a shared legal framework that is increasingly sophisticated but also more scalable, in response to continual digital innovations and the growing increase in consumer needs.

While we’re experiencing the appearance of regulations with a strong impact on business (e.g. PSD2) in sectors such as banking, the field of insurance can’t afford not to anticipate and forecast with regard to the implementation of these standards within the sector.

THREE MAJOR STAKES ARE EMERGING IN THE INSURANCE MARKET ECOSYSTEM:

• The increase in the number of distribution channels, as the insurance business moves closer to the end customer;
• Improvement in the user experience, thanks to digital transformation and, more particularly, the opportunity that artificial intelligence represents in this transformation;
• The development of strategic partnerships with ‘InsurTech’, to enrich and extend the insurance offer benefiting from a faster time to market.

A GLOBAL APPROACH IS REQUIRED TO MEET THESE STAKES:

• Providing API based on new insurance capacities and supporting the change.
• Developing secure tools that are capable of easily adapting to the regulations, to facilitate the work of insurance brokers and help them save time.

To tackle these stakes, the players in the market must remain focused on their strengths, by using a stable technology that can guarantee the leading insurance processes. But while technological reliability is the key asset that will make a company stand out in the global value chain, the success of the implementation also depends on a change in behaviour and culture (internally and externally), in order to be more open to flexible business models.

Whether they are aggregators, market places or insurTech, we don’t master all the stakeholders and it’s useless to try and control everything yourself. The key to the game therefore relies on the acquisition of the relevant APIs, which match the tools that will win the general public’s adherence. These APIs stand out, owing to their ability to offer user-friendly platforms that are sufficiently secure, so that users have complete confidence in them.

Aware of this shifting context and the paradigm the number of players represents, Vermeg supports companies from the banking/insurance world in this change with its Solife offer.

Solife is a complete, robust and proven solution, which covers a wide range of basic insurance components. It is delivered with an API gateway and Msg Broker to facilitate application integration and the end user experience. It integrates a vast catalogue of business process APIs for fast implementation.

To operate the change to digitised services, insurance professionals must have flexible tools that guarantee IT departments significant time savings, so that they are better able to anticipate market trends and face the endogenous dynamics.