Cloud computing has been called (justifiably, in my view) the biggest thing to hit information technology since the Internet. By bringing data storage and computing power off-site and providing it to customers on an “as-needed” basis, the cloud has transformed the entire concept of IT.
Yet, a number of concerns – with security right at the top of the list — prevent companies from making full use of the cloud. As proprietors of large quantities of highly confidential customer information, insurance companies tend to be particularly nervous about adopting cloud-based solutions and entrusting an outside service provider with such a prized asset.
This kind of “fortress” thinking makes a certain type of sense, at least initially. Who better, after all, to look after the insurance company’s crown jewels than the insurer itself? Further reconsideration, however, might indicate that a do-it-yourself solution is not the best approach. The cloud service provider, after all, can employ teams of the most sophisticated cyber-security experts to track the latest threats and develop effective countermeasures. Even the largest insurers cannot replicate these kinds of defenses.
The essential element here is focus. The cloud service provider’s primary focus is to provide a secure environment for data storage and the effective delivery of cloud-based services. The insurer’s primary focus is – or should be – developing innovative new products and a first-class customer experience, not running data centers or preventing incursions by cyber criminals.
Cloud can provide a great platform for innovation and flexible operations. While insurers have valid concerns about cloud security, these concerns should not prevent most insurers from taking full advantage of everything that cloud has to offer.
Read about Accenture cloud security solutions