eReinsure’s David Winslow brings some insight into the use of application programming interfaces (APIs) that are accelerating digital transformation in the (re)insurance market…
Insurers of all sizes are transforming their technical capabilities to meet changing customer, partner and investor expectations. They are realising the need to incorporate digital technology into all areas of the insurance supply chain and to fundamentally change how they operate and deliver value to customers.
At the heart of this digital transformation is a real need to integrate data and services. Insurers are rethinking how these can be used across the entire enterprise to improve the customer experience, improve quality, increase efficiency, drive down cost and realise new ways to generate revenue.
Integrating with partners who can cost-effectively reinforce existing strengths and enable new offerings aligned with customer needs is essential to successful transformations.
Data is required for making informed decisions and insurers need an efficient, agile approach to enable data interchange across their business and with their partners.
Digital transformation is powered through gathering, transforming, enhancing and moving data. Focusing on bringing order and insight to their data will allow insurers to utilise intelligent tools that provide the right data to the right person at the right time.
Data integrations aggregate data from multiple data sources and make it available to others. These data services can be used to provide a comprehensive and accurate view of the business. Information from external sources can enrich the data an insurer holds and provide essential context. For example, third-party data with insight on weather pattern changes in relation to property locations can provide more accurate risk assessments.
“Through service integrations insurers can accelerate digital transformation by gaining access to innovative products and collaborating in ecosystems designed to capture and sustain new market opportunities”
Service integrations provide the opportunity to harness external capabilities such as digital distribution, risk assessment and automated underwriting. These external services can enhance an insurer’s ability to provide new types of offerings for various use cases without having to build the capabilities in-house.
Through service integrations insurers can accelerate digital transformation by gaining access to innovative products and collaborating in ecosystems designed to capture and sustain new market opportunities. When insurers approach service integration in a planned, thoughtful way, they can gain benefits that provide competitive advantage throughout their enterprise.
Modernising legacy systems is often a high-risk, daunting and lengthy process, but a practical pathway can be found through service integrations. Insurers are finding that service integrations can act as another catalyst for digital transformation.
Platforms such as eReinsure now include modern, highly secure APIs designed to allow rapid integration with legacy systems. These platforms open new avenues for insurers to participate in the innovations taking place in the digital world.
For insurers, integration is essential for digital transformation. Through integrations with external partners, collecting information from them and sending information to them, insurers have a cost-effective and practical path to bridge the gap between existing capabilities and future needs.
David Winslow is Vice President of Software Development ar eReinsure