The P/C insurance industry aspires to transform its business model to a customer-centric one, but the IT funding required to reach this goal is simply not available, according to a new report from Mass-based Aite Group.
The report, based on a survey of 19 North American P/C insurance company claims executives conducted during May through August 2012, reveals claims executives’ views on IT and related issues.
The report findings indicate claims executives are expected to do more with less, are increasingly asked to reduce operating costs, achieve claims excellence, deal with ever-growing fraudulent claims, satisfy the demands of sales staff and customers and create a growing and increasingly complex group of communication channels.
“The disconnect between demand and available budget clearly illustrates the fiscal constraints and competing priorities that all claims executives must balance,” says Stephen Applebaum, senior analyst with Aite Group and author of this report. “This conundrum is driving claims executives to focus on what they perceive to be the best opportunities in terms of return on investment and alignment with corporate strategy.”
Source: Aite Group