Insurance Industry is in the midst of radical changes. Amongst the key challenges faced by the industries, the following are the salient ones:
- Managing risks and adhering to the stringent regulatory guidelines are paramount.
- Make processes simple and reduce the cost of operations. With low interest rates, especially in the growth-engine life insurance, performance on the investment side is no longer a given.
- New competitive landscape and increasingly demanding customers are driving insurers to innovate and integrate to become digital insurance companies with customized offerings.
New Technologies to Solve Today’s Challenges
SAP has innovative product and solutions for Insurance companies to seize the opportunity and to operate more efficiently and profitably. . For example:
- SAP HANA in-memory database technology accelerates analytics and enables smarter transaction processing, with a 360-degree view of the customer.
- Cloud solutions simplify deployment in the front, middle, and back office, and scale rapidly for quick ROI.
- Industry-specific content and pre-configured business processes simplify and standardize implementations.
- SAP mobile solutions help create an Omni-channel experience for each individual customer.
- SAP Insurance Analyzer powered by SAP HANA enables not only Solvency II and IFRS
compliance, but also offers an integrated finance and risk platform.
SAP Solutions in action
Use Case 1: A multi-brand insurance carrier with gross written premiums exceeding €20 billion defined a strategy to become the most integrated and digital insurer. The goal was to offer maximum flexibility for customers while pushing for industrialization in the back office.
- The company leveraged SAP best practices for core insurance processes to enable true straight-through processing for standard processes.
- It applied SAP HANA technology for a single database with real-time analytics and customer data.
- In combination with SAP for Insurance solutions and mobility, that allowed the company to engage customers and create a superior user experience.
Use Case 2: One of the largest multi-national insurers in Europe, with 50 companies and 24 brands in 20 countries, suffered from high M&A cost and heterogeneous insurance processes. Using SAP for Insurance, it reduced its IT cost ratio below 2%. Even in a local business like insurance, the company ran 80% of processes out of the box. Our cloud solutions make this possible.
Use Case 3: A large public health insurer needed to provide better medication and treatment for diabetes and heart disease. But it struggled to analyze data on 24 million customers, 1.2 million companies, 20,000 pharmacies, 50,000 medical products, 570 million visits at 140,000 doctors, and 18 million surgeries in 2,000 hospitals. Today, the company can identify best medications and best doctors, and analyze fraud immediately.
There are many more stories from our unmatched customer base. In the insurance industry, more than 5,000 companies run SAP, and more than 300 of them run SAP’s core insurance solutions. They enjoy the immediate benefits SAP provides: lower operations costs, individual customer propositions on any device, and solutions delivery in weeks on-premise or in the cloud. Come find out more at sap.com/insurance. You can follow us @SAPforInsurance for the latest updates on SAP offerings and updates.
You can watch the detailed video here.