Introduction
In this rapidly evolving technology landscape, insurers often find it critical to modernize their legacy systems at an accelerated pace to drive their digital transformation journeys. Our clients, British multinational insurance companies and leading life and pension providers, were looking for a partner in their digital-first transformation journey. At that point in time, our Insurance Business Solutions team was managing the closed book of multiple clients through our centers in Romford (UK) and India. This included services such as agency, customer, policy, claims, reassurance, contribution and underwriting administration. Based on the impeccable relationship we shared with these clients, we were selected as the partner of choice in their digital-first journey.
The Challenge
Legacy systems with many roadblocks to automation
To achieve the objectives set by our clients, we first carried out an analysis of the as-is state of their processes. This analysis highlighted the following challenges and pitfalls:
- Legacy systems and outdated architecture (policy admin and peripheral systems)
- Absence of digital channels for communication
- Need to rekey the data multiple times, leading to a high level of manual handoffs
- No Straight Through Processing (STP)
- Higher Average Handling Time (AHT) and Turn Around Time (TAT)
- Limited automation
All these challenges created a high regulatory risk situation for our clients.
The Objective
Leverage a cloud-based system with omnichannel capabilities
As many of the systems were reaching End of Life (EOL), the main objective was to create a modular and modern cloud-based system that enabled omnichannel customer contact and resulted in increased productivity and resilience, as well as reduced TAT, errors and change/run costs.
The Solution
Enabled composable insurance industry cloud
We designed a new solution — a composable insurance industry cloud that provided a significant competitive advantage to our clients. The key tenets of the solution are:
- Layered architecture to enable segregation and distribution of capabilities
- Low/No-code platform and apps for quick changes in configurations and easy customizations
- Standardized processes to enable STP across multiple policy/core systems
- Plug-and-play (composable) capabilities with loosely coupled apps integrated with APIs
- Micro/Web services-based architecture
- Quick remediation of a large set of legacy micro apps for easy deployment on cloud
- Enables 100% call QA
- Use a single workbench to orchestrate standardized processes on multiple Policy Administration Systems (PAS)
- A ready-to-use environment with tools and services to make it fit for purpose for specific operational requirements
The Impact
Enhanced digital capabilities with significant gains in competencies and savings
Substantial improvement in IT risk profile
- Moved 100% IT stack to cloud
- Eliminated risk of all EOL/EOS software
- Operational resilience (green on all IT measures)
Acquiring new digital capabilities
- Addressed 80% of contact volume with STP/automated processes
- All digital channels supported (email, mobile, SMS, portal)
- Single workbench interface to service from contact to completion
Substantial improvement in customer outcomes while providing competitive advantage and savings
- Reduced TAT, errors in servicing processes and complaints by over 50%
- Used SaaS and cloud-native software for variable IT costs
