Predicting the Future: 2016 North America Illustration Solution Spectrum
Celent has released a report that reviews the North American life insurance illustration solution spectrum titled Predicting the Future, 2016 North America Illustration Solution Spectrum. A companion report for the global market is also available. The report was written by Colleen Risk and Karen Monks, analysts in Celent’s North America Life insurance practice.
The report profiles nine providers of illustration systems. Each vendor responded to a request for information and provided a demonstration and briefing of their solution. This report examines the prominent vendors in the space and is intended to provide insight into the solutions they provide.
Point-of-sale tools used by producers continue to evolve. Since Celent last looked at North American illustration systems in 2012, features and functions have expanded, offering an insurer or agent more capabilities in presenting information to prospective policyholders. Illustrations are a required and heavily regulated part of the sale of life insurance, but the changing functionality of these systems has made them more than a tool to illustrate an insurer’s product portfolio. Illustrations are becoming a key factor in keeping producers happy and facilitating the life insurance sale.
More emphasis on the illustration output, the use of mobile devices, user-level configuration, and full integration with other point-of-sale tools are just a few of the changes Celent has seen in vendor-based illustration system. Insurers now can manage what was a jumble of point-of-sale tools that included needs analysis, advanced sales support, suitability, illustrations, and e-applications through one vendor system if so desired.
While homegrown illustration systems are still being developed and used, we believe that most carriers looking to invest in a new illustration system should consider vendor systems for core functionality and tools that can help them produce state of the art illustrations quickly and economically.
“The vendors in this report have evolved their illustration systems as a key element in the point-of-sale arsenal for the agent,” says Risk. “In addition to crunching the numbers, illustration systems now provide graphics and side-by-side comparisons to help agents depict how insurance products can help their clients obtain a more secure future.”
“Celent’s review of the systems provides a fairly detailed look into many areas that concern an insurer looking to update or replace their illustration system,” says Monks. “This report and input from Celent can help an insurer make a short list of candidates.”