Insurance companies are challenged by complex, inflexible, and often obsolete legacy IT systems. Besides being expensive to maintain, legacy systems adversely impact business. The erosion of competitive advantage is compounded by low to moderate premium growth, and the increasing burden of regulatory compliance and customer expectations.
Modernization of IT infrastructure will remain an incomplete exercise without strong alignment between infrastructure modernization and modernization of the operational context. It should consider the long-term landscape of the industry, industry benchmarks, and enterprise strategy.