LATAM Life & Health Insurance: 2023 IT Priorities and Pressures

14 July 2023

Abstract

The past years have been full of uncertainties for life and health insurers. While the industry was optimistic about entering 2020 with ambitious technology investments, the COVID-19 pandemic delayed many projects, especially big system modernization and transformation initiatives.

In our 10th annual review of IT priorities and projects for Latin American insurers in L&H, Celent aims to answer 1) What are the drivers of IT investment, for Latin American insurers?, 2) What is the planned level of activity, by Latin American insurers, regarding IT? and 3) What is the expected IT investment by Latin American insurers?

Our estimations in 2022 reflected optimism related to the end of the pandemic and its impact on insurers’ IT investments. This year’s survey suggests that life and health insurers have maintained their levels of investment in IT, despite the impact of the recession, currency devaluation, and inflation hurting business in most countries in LATAM.

Twenty-three LATAM life and health insurance C-level executives with IT responsibility in 31 insurance operations contributed to our survey. Although the survey was reasonably short, it covered a broad range of topics, including business priorities, IT budgets, investment priorities, cloud adoption, and innovation and insurtech.

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