Product Managament Director
Paulo Ferreira, Product Management Director at Cleva, explains the advantages and opportunities for insurers when they begin a process of changing their core system.
In projects in which Cleva has had the opportunity to contribute to the digital transformation of various insurance companies, there have been identified different motivations and reasons for initiating a core system change process. These changes, which have a significant impact on company operations, are also decisive for medium and long-term strategic results.
The success of these projects is largely related to the company’s ability to rethink its processes, products and the relationship with customers. The ability to reinvent oneself, recognise the potential of a new system that previously limited the business, and seize opportunities for growth, greater efficiency and better customer service are essential factors for the success of these transformation projects.
‘The success of these projects is largely related to the company’s ability to rethink its processes, products and the relationship with customers.’
Before starting a transformation process, companies often find themselves at a crossroads – between upgrading their obsolete system or acquiring a new market solution, so it is essential in this context to assess which path has the greatest potential to transform the organisation.
It is always crucial to look at the opportunities represented by a systems modernisation process, which include the following points:
Modern systems are designed to streamline processes, automate routine tasks and integrate with other systems, with API-based and orientated architectures that offer greater flexibility and scalability. This ensures that insurers can quickly adapt to changes in business, regulatory requirements or products, without the need for time-consuming, large-scale interventions. The result is a more efficient, agile and cost-effective commercial operation.
A modern core system allows insurers to unblock data silos and provide a holistic view of the customer. By integrating systems with digital front ends, insurers can offer consistent and seamless experiences across all channels, from mobile apps to agent portals.
They can also offer simplified or even automatic processing of claims, allowing for faster and more efficient settlements.
Insurers need to quickly launch new products, adjust underwriting criteria and respond to new risks – capabilities that are often limited by the rigidity of obsolete systems. Insurers can leverage new business models and quickly launch new products on the market by adopting capabilities provided by the latest core systems.
The insurance regulatory landscape is evolving rapidly, with new standards for data privacy, cyber security and operational resilience. Legacy systems face challenges in meeting these requirements, exposing insurers to a variety of risks.
Modern core systems are equipped with security protocols and have the necessary updates to ensure that insurers are protected.
In conclusion, far from being a mere technical upgrade, changing a core system represents a strategic opportunity to transform and boost the business. For insurers willing to make the investment, modernising the core system unlocks new growth opportunities and guarantees long-term success.
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Paulo Ferreira, Product Management Director at Cleva, explains the advantages and opportunities for insurers when they begin a process of changing their core system.
Agile digitalisation of the insurance processes There has been much talk about digitalisation in insurance companies, particularly focused on business processes as underwriting or claim management. But how easy is the digitalisation process? And yet, is permanent and agile evolution of the digitalisation possible?
Cleva is committed to the development of core solutions that boost the digital transformation of the insurance industry through a comprehensive and integrated platform with a complete functional range from managing policies to risk assessment and customer service.