Industry Falling Behind As A Result Of Poor IT Services

Brokers and insurance companies are falling behind when it comes to leveraging online trading and technology within core business models, primarily as a result of spiralling IT costs and a failure to adapt adequately in a suitable timeframe to technology related enhancements, according to the results of a survey released today.

Insurance managers nationwide are reportedly missing out on increasing revenue channels through online sales, and even in the use of technology systems within the workplace that could increase efficiency and result in cost savings as a result of increasing costs and dwindling levels of service within the IT industry, according to a series of figures published in a study released today.

In the report conducted on behalf of Esist Insurance Technology by researchers Straight Marketing, problems with IT suppliers were a major contributing factor to the lack of ‘edge’ within the sector in this sphere, as were growing costs and a short term loss of efficiency during changeover periods, particularly amongst small businesses.

Unascertainable final price computations, delivery setbacks, inherent system errors and sky-high maintenance costs were said to be among some of the most significant problems for insurance managers looking to benefit from technology in their businesses, presenting a significant stumbling block for businesses looking to invest in more advanced information systems.

The study also turned up certain interesting statistics relating to the service levels of IT service providers, with 90% of those questioned suggesting suppliers were ‘rarely’ delighting their customers in terms of timeframe, quality and delivery cost, reflective of a growing ill feeling towards IT service providers across market sectors.

The report into business owner concerns within the insurance industry was conducted over 40 insurance managers, examing in particular their experience with technology systems as compared to the potential for further exposure to systems within the marketplace.

Category: Business Insurance News