Life insurance companies have different perspectives in terms of policy administration systems. Expectations vary, and IT vendors must adapt to insurers’ needs if they want to be successful in the long run, not only in a dedicated market but also on a larger European scale.
In a new report, Getting the Value from Life Policy Administration Systems: The European Insurer Perspective, Celent examines the value offered by policy administration systems (PAS) in the life insurance sector. The report provides key information for both IT vendors and insurers looking to better understand their peers’ experience in the market.
"Insurers' perceptions of an IT vendor's implementation capabilities are highly relevant input that PAS providers should carefully consider," says Nicolas Michellod, senior analyst with Celent’s Insurance Group and author of the report. "If IT vendors have a high level of knowledge in the insurance industry, they are more inclined to implement a solution on time and on budget, consequently satisfying their client customization requirements," he adds.
In the first section of this report, Celent provides some general information including the types of business lines where insurers use PAS, as well as considerations about the PAS replacement cycle, and identification of PAS features that represent their key priorities. The main part of the report details survey results related to PAS and an IT vendor evaluation. Celent reviews insurers’ perspectives of the key PAS features, integration elements, IT vendors' implementation capabilities, training required for end users, and operational and business staff involvement. The last section of the report provides Celent’s recommendations for IT vendors and insurers.
