As the marketplace moves toward digital technology, the need for faster and less expensive solutions is elevating the role of core systems into front-office interactions. This is driving carriers across the industry to replace these systems in order to realize competitive benefits from a state-of-the-art technical solution.
Part 1 of a three-part article series.
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Part 2: Getting It Done: Keys to Policy Administration Systems Transformation Success Part 3: Advancing a Digital Agenda: Policy Administration Transformation Is Step 1 for CarriersThis article series is part of a larger EY report, “A Springboard for improvement,” available on the EY website here.
Carriers have always been reliant on their core systems—policy administration, claims and billing. There has been a reluctance, however, to replace these systems in their entirety even as they became obsolete because of the cost and complexity. The tendency has been to disguise legacy system limitations to end users by building new front-end interfaces or, if necessary, manual intervention. But these solutions have become costly to maintain and have failed to resolve the underlying issue.