For insurers wanting to ensure their growth and relevance into the future, Accenture recommends thinking beyond insurance. However, like most large organizations, insurers cannot reinvent their businesses overnight. They have legacy systems to manage, traditional revenue streams to protect, risk-averse cultures that are difficult to change and cumbersome processes to surmount.
Rather than trying to innovate from within their own four walls, they must create new spaces where innovative thinking can flourish. This might mean creating dedicated innovation teams to design novel products and services. Or it might mean investing in or acquiring innovative startups to access new technologies and disruptive business models.
Our research shows that insurers agree. Half of those surveyed are already seeing a positive ROI from their investment in personalization technologies, 56 percent are considering adopting technologies that allow business users to complete tasks that previously required IT experts, 36 percent have already acquired innovative companies and 79 percent expect broad adoption of programs for innovating with partners, suppliers and customers.
Whichever options insurers pursue, it’s important for them to think of their business as an investment portfolio. Even as they continue to invest in their traditional business models, forward-thinking insurers will be experimenting with new business models and nurturing the most promising ones to maturity.