SMA Report: Focus, Momentum Expanding around Innovation in Insurance
Staff Writer | November 14, 2014
Strategy Meets Action (SMA) a leading insurance strategic advisory firm, has just released a new research report, “Innovation in Insurance: Expanding Focus and Growing Momentum” that highlights the continued progress in and around innovation with expanding focus and accelerating momentum. The report notes that insurers' investments in technology are focusing around the modernization of core systems, recognizing it is a foundational requirement for innovation and table stakes for entry into the leader positions in the market.
In addition, the research indicates that building momentum for the innovation journey is being fueled by the insurers' increasing willingness bring in outside-in views by engaging open innovation and developing an ecosystem of outside resources.
"A new future is rapidly unfolding, and the pressure to innovate is on, as reflected by the significant number of insurers focusing on innovation," says Denise Garth, SMA partner. "In today's environment of fast-paced change, an insurer’s commitment to innovation must never cease, must never pause, and must always keep a sense of urgency. Each and every day, insurers must recommit to their innovation journeys and their innovation cultures, to gathering outside-in views, and to avoiding falling into operational traps."
The report highlights and discusses the following:
- Innovation leadership and organizational approaches take many different forms for insurers, ranging from dedicated departments to departmental or ad-hoc teams.
- Nearly one-third of insurers have their strategy or R&D leadership/areas lead innovation. SMA believes this reflects the resurgence of strategy and R&D efforts to provide an enterprise wide approach for innovation that maximizes the strategic impact and value of innovation initiatives for the organization's Next-Gen Insurer vision and strategy.
- The shifting landscape of the influencers of, threats to, and competitors in the insurance industry has reprioritized innovation drivers, with enabling growth (42 percent) and profitability (30 percent) moving to the top.
- A bigger shift has emerged, reflecting the demands of the digital revolution and outside-the-industry influencers that are increasing the focus on developing new products and engaging and strengthening customer relationships.
"Innovation continues to be a strategic and key initiative within the industry, gaining greater focus over the last few years due to the level of innovation from companies outside insurance who have strong innovation cultures and are impacting or entering the industry in various ways," says Deb Smallwood, SMA founder. "This is reflected in the majority of insurers that have focused on innovation for more than two years, and many for more than five years, highlighting the growing momentum in the industry that will delineate market leaders and movers from the rest of the industry."
- ITA Pro Magazine May/June 2019
- Spotlight on the 2019 IASA Conference
- ValueMomentum Selects Erie as Site of Regional Development Center
- Capgemini and Majesco Become Alliance Partners
- Electronic Chat with Dr. Dan Shoham
- Electronic Chat with Todd Greenbaum
- Martha Notaras: The “Outsider” with an Amazing Inside View
- ProSight Direct Offers “Effortless Insurance for Today’s Professional”
- Electronic Chat with Larissa Tosch
- Martha Notaras Will Join ITA LIVE 2019 as a Keynote Speaker
- Five Things to Consider When Evaluating Your Cyber Risk
- ITA Pro Magazine, January/February 2019
- Major Ransomware Attack Could Hit U.S. with $89B In Economic Damages
- ITA Announces 1st of Three Keynote Speakers at ITA LIVE 2019
- Electronic Chat with Jeroen Morrenhof
- Legacy Systems Are Dead. Really? Don't Count On It.
- Now Accepting Nominations for the 2019 ITA Bridge Awards
- It's time to register for ITA LIVE!
- Registration is Now Open for ITA LIVE 2019!
- What to Expect from a Digital Experience Platform Implementation
- ITA Pro Magazine September Edition is Now Available
- It's National IT Professionals Day
- Save the Date for ITA-LIVE 2019
- OneShield Software and UrbanStat Work Together to Improve Real-Time Analytics and Risk Decision-Making
- ITA LIVE 2019 - SAVE THE DATE!
- Insurance Technology Association Announces New Editor-in-Chief
- August 2018 Edition ITA Pro Magazine is Now Available
- Enterprise Architecture in an Agile World
- Top 10 Tips for Securing Your Mobile Devices and Sensitive Client Data
- Industry Insight: 4 Global Insurance Trends in Digital, Data, Content Services and Security
- Diving Deeper into Prioritizing Your Strategic Digital investments
- Why Content Rules
- How Mass Personalization Will Open the Small Business Benefits Market
- At Year End 2017, Will Your Organization Be Protected from Cyber Risks?
- Do Insurance Bots Dream of Mitigating Risk?
- Conditioned to Respond
- Managing & Mobilizing Insurance Data in a Connected World
- Race to the Finish Line
- New Tools, New Opportunities in Claims
- ITA LIVE: Reaching Insurance Industry Crossroads
- Advice to Insurance IT Leaders: Keep Your Eye on the Ball
- New Date, Venue for ITA LIVE 2017
- Guidewire Makes Major Push to Small and Midtier Market by Acquiring ISCS
- Insurance Disruption is Happening Right Now
- Insurity Adds Strategic Investment Partner, General Atlantic
- Beyond Transformation: The Convergence of Finance, Risk, and Actuarial Functions
- The Rapid Evolution of Consumer Protection Regulation
- Talent Hunt: Finding, Attracting, Retaining Top People
- Insurers Flexing Their Distribution Models
- Technology Driving Disruption in Insurance
- Fear of ‘Next Bubble’ Challenges Life, Annuity Carriers
- Technology Allows Commercial Lines Insurers to Stand Out
- Single Sign-on Viewed as Biggest Tech Challenge for Agencies
- ISCS Observes 20th Anniversary; Scurto Predicts Major Changes Ahead
- Policyholders and Their First Impressions
- Progressive Making Progress on the UBI Front
- High and Dry: Insurers Search for Disaster Recovery Plans
- Insurers Sign The (Un)Dotted Line
- Reflections of a Retired Insurance CIO
- Mobile Device Management Just One Answer to BYOD Issue
- Lessons from GEICO and Progressive on Winning the Critical Buying Stage
- You Are a Target for a Cyber Attack
- Web-based Systems are the Next Evolution in Claims Technology
- Gaining a “Wow” Experience from Web Users
- Time to Shift from Business/IT Alignment to Business/IT Alliance
- Healthcare Insurers Changing to Consumer Model
- Organization is the Key for Selecting Software Vendors
- Analysts Expound on the Needs of the Mid-tier Insurance Market
- Finding the Cure for Obamacare’s Website
- New Software Solutions Benefit Insurers on the Inside and Outside
- Products, Market Impede Investment in Systems for Life Insurers
- Combatting Cyber Threats: Predict, Prevent, Persist
- The Future of Telematics Heads Beyond Insurance
- The Shame in Cyber Security Lapses
- Building Policy Administration Systems for the Future
- Insurers Look Into The Eyes of Their Policyholders
- It’s a New Dawn for the ITA
INSURANCE IT NEWS
- Personal Lines Insurers Must Innovate and Adapt to Address Predictable Market Changes in the Long- and Short-Term, Says Novarica
- Resort will integrate InsuraGuest’s InsurTech software toprovide hotel guests with protection policy at time of check-in
- Business Owners Combating Distracted Driving with Telematics Technology
- George Jones Assumes CEO Role for Westhill
- Insurers Need New Leadership Skills to Drive Transformational Change, Says Novarica
- Majesco Congratulates MMG Insurance On Receiving the NAMIC Award In Innovation
- Need for Speed-to-Market Driving Nationwide Platform, Powered by Bold Penguin
- Guidewire Software Announces LTI as New Consulting Alliance Partner
The Email Chat is a regular feature of the ITA Pro magazine and website. We send a series of questions to an insurance IT leader in search of thought-provoking responses on important issues facing the insurance industry.
ITA LIVE 2019
The tide is up! It's time to register for ITA LIVE 2019, our annual educational and networking conference! Our theme is "The InsurTech Revolution: Cutting Through the Hype." and we'll be bringing in a torrent of industry thought leaders, amazing insight and wonderful perspectives on the world of insurtech and its impact on the insurance landscape.
ITA LIVE 2019 will present real-life examples of true startup technologies that are helping insurers gain real advantage -- and a competitive edge -- in the marketplace. We’ll highlight the more successful InsurTech partnerships, while offering case studies that demonstrate exciting innovation and cutting-edge techniques impacting all aspects of the insurance ecosystem.
Ride the wave to LIVE 2019. Sign up today! We look forward to seeing you in May, 2019!
BLOGS AND COLUMNS
Nowadays, transformation is a top buzzword in the insurance world. But beyond the buzz, it reflects what is happening in the insurance industry today... READ MORE
I am so excited to share our latest research report, “Bringing New Focus to the Transformation Journey: Accelerating Transformation with a New Lens... READ MORE
You have surely heard it said that small businesses are the growth engine for America. Today, the phrase has a special ring to it for benefits... READ MORE
With stagnant growth and lingering low interest rates, the life insurance industry faces a challenging future... READ MORE
Finding insurance carriers willing to write commercial lines risks has always been a challenge for producers... READ MORE
As Guidewire Software prepares for the start of Connections, its 11th annual user conference that begins on Nov. 2, Brian Desmond, chief marketing... READ MORE