From logistics to information technology and from aerospace to the finance industry, few states can match the scale and scope of Florida’s industry assets. During a recent company event, I had a chance to speak with Sam Velu, director of Talent Acquisition & Delivery at Amzur. Sam Velu says that Florida has a competitive talent pool, global connectivity, and a robust economy.
“It’s the era of digital transformation; to be competitive, we see a move from antiquated systems to cloud,” he said. He added that the evolution of the insurance business is found at the intersection of technology and customer experience.
Staffing for implementing/reimplementing insurance software platforms
Health insurance costs are set to go up in 2020. The property and casualty (P&C) insurance industry cycle is characterized by periods of soft market conditions and intense competition, when premium rates are either stable or falling and insurance is readily available, and by periods of hard market conditions, when rates rise, coverage may be more difficult to find, and insurers’ profits increase. So, rates drop as insurers compete to increase market share. As the market softens to the point that profits diminish, the capital needed to underwrite new business is depleted. In the up phase of the cycle, competition is less intense, underwriting standards become more stringent, and the supply of insurance is limited due to the depletion of capital. As a result, premiums rise. The prospect of higher profits draws more capital into the marketplace, leading to more competition and the inevitable down phase of the cycle.
Due to the influx of capital, the market resisted significantly and sustained market-wide rate increases despite experiencing significant catastrophic losses, which collectively cost in excess of $125 billion ( Know More). In order to gain greater visibility across their entire book of business, insurers and/or insurance agencies look for IT solutions with integrated capabilities to manage P&C, benefits, and sales in a single application.
The P&C insurance companies look for agency software platforms that help them with:
- Comparing products.
- Producing quotes.
- Tracking prospects (sales cycle).
- Managing documents.
- Handling accounting/integrating with external accounting software packages.
- Accessing client portals (forms and docs).
Without being experts in these insurance software platforms, insurers and/or insurance agencies are looking for integrated and open architecture with essential, daily-use capabilities for each stakeholder.
Their goals are more or less the same across the board:
- Improve customer relationships.
- Increase new sales and cross-selling opportunities.
- Improve go-to-market processes.
- Improve financial accounting and reporting functions.
- Optimize business processes.
- Improve policy and benefits administration.
If we look at the insurtech market, we see that there are various insurance software suites, ranging from Sapiens Stingray to ConceptOne (Read More). All of these solutions need to be dedicated to IT talent. Sometimes these insurance software platforms are not implemented and integrated correctly.
Most P&C companies with failed implementations end up dealing with:
- A lack of understanding of the P&C insurance domain.
- A lack of technical expertise.
- Issues with uploads.
- A lack of working knowledge (technical) of the insurance platform.
- A lack of confidence in the internal IT department by the business units (sales, finance, product, etc).
In P&C insurance, for small, technical projects, it is common for the IT project leader to be a highly technical subject matter expert. For larger programs, project managers are seldom masters of every technical detail, but generally, they are knowledgeable enough to ensure that communications are clear and status can be verified. On small, technical projects, the project manager may be a technical guru, but that becomes much less important as the work grows. Large-scale projects require an effective leader who can motivate people and delegate the work to those who understand the details.
At Amzur, we have excellent project managers who are highly technical subject matter experts. They are detail-oriented and able to organize many disparate activities at a time. All of this relates to delivering business value—understanding the trade-offs between time, scope and cost while delivering the expected value of the project to the insurers, which includes established and/or brand new agencies selling P&C and life insurance in both personal and commercial lines. Our extended teams work on improving technical expertise and getting folks up to speed on the business (domain) while improving information and technology processes and productivity fivefold.