New Novarica Report Provides Benchmark Data on 50 Advanced Capabilities for P&C Insurers

BOSTON - Dec. 11, 2014 - PRLog -- Novarica, a research and advisory firm focused on insurance technology and strategy, today announced the release of a new 32 page report “Benchmarking the New Normal: 50 Advanced Capabilities for P&C Insurers”. This report provides a list of 50 advanced capabilities across nine functional and strategic areas, survey data from more than 60 CIOs, and a new benchmarking tool designed to help insurers track their own progress in deploying advanced capabilities.

Advanced capabilities in the insurance industry are being driven by a combination of five elements: analytics, data, digital channels, modern applications, and innovative business practices.

Insurers are generally most advanced in underwriting, analytics, and areas of billing and distribution with direct customer impact. Competitive capabilities in product, underwriting, and customer experience are also increasingly common. Larger insurers as a group are widening their lead in advanced capabilities, but some midsize insurers have deployed more advanced capabilities than their peers. Some of the advanced capabilities that insurers actively plan to add in 2015 include:

• Customer: Mobile app to view customer relationship details, balances, key documents, etc.

• Distribution: Mobile app/mobile optimized web for producers to provide access to customer, book of business, or sales materials

• Product: Products designed to optimize buying/selling experience through one or more of the following: (a) use of pre-fill data, (b) elimination of unnecessary questions, (c) streamlined underwriting process matched to control of risk/coverage levels

• Underwriting: Predictive scoring based on models leveraging internal  and third-party data

• Marketing: CRM-driven campaign management that shares information across distribution, underwriting and service channels

• Billing: Electronic bill presentment and payment

• Analytics: Use of Big Data tools to mine enterprise data effectively (Hadoop, NoSQL, etc.)

• Claims: Mobile FNOL with video/GPS data capture and pre-fill

“Insurance is an information business that depends entirely on information technology and the business processes that it enables, “explains Matthew Josefowicz, President of Novarica.  “The list in this report makes no claim to completeness, but does provide a consensus view of some of the most critical advanced capabilities that insurers have deployed, and allows insurers to track their progress against deploying these ‘New Normal’ capabilities,” says Josefowicz.

About Novarica

Novarica provides information, insights, and perspectives on markets, operations, and technology to financial services and insurance executives. The company delivers its service through published research, retained advisory services, and project-based consulting. Novarica draws its knowledge from the personal experience of its principals, the ongoing information gathering initiatives of dedicated research staff, and regular communication with insurer executives through informal networks and through the Novarica Insurance Technology Research Council, a moderated knowledge-sharing community of more than 325 senior IT executives representing more than 300 North American insurers. More information at www.novarica.com