The key takeaway from ITC Vegas 2024 is clear: Insurers must focus on more than just adopting new technologies. The value comes from aligning innovative solutions with deep industry expertise to tackle core challenges—improving operational efficiency, managing risk, and staying competitive in an ever-evolving market. Whilst our leading technology, Radar, brings myriad benefits for our clients, we find that pairing it with the expertise of our consultants is more likely to drive true transformation for insurers.
Key themes
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Embracing AI and automation
AI and automation emerged as key themes for insurers, primarily focused on enhancing operational efficiency and reducing costs through streamlined workflows. However, managing loss ratio volatility remains a significant challenge. Insurers must, therefore, seek proactive risk management strategies that go beyond efficiency and expense reduction, leveraging technology to enhance decision-making and overall risk assessment.
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Controlling loss ratio volatility remains one of the insurers' biggest challenges. Efficiency alone won’t cut it —you need solutions like Radar that balance operational improvements with proactive risk management to stay competitive in a volatile market.”
Wendey Crosley | Global Director of Underwriting Transformation -
02
Overcoming barriers to new technology adoption
While the potential for technological advancement is vast, many insurers struggle with IT bottlenecks and technical debt that hinder the implementation of new systems. These challenges create significant barriers to adapting to changing market demands and leveraging innovative solutions that can transform operations. To overcome these challenges, insurers need partners who can provide tailored solutions, including cutting-edge technology and a deep understanding of insurance workflows in pricing, underwriting, and claims.
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Strategic data management
Data is a powerful asset, but its true value is realized only when integrated into the right processes and supported by a comprehensive data strategy. Insurers must prioritize effective data governance and leverage the right tools to ensure that insights are actionable, facilitating better decision-making and improving customer outcomes.
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04
Enhancing pricing accuracy through externalization
Insurers are increasingly turning to rating externalization as a strategy to improve pricing accuracy and accelerate speed-to-market by separating rating and underwriting rules from policy administration systems. This approach enables greater agility in adjusting risk appetites and refining offerings. However, timing and implementation challenges remain critical factors that insurers must navigate to realize these benefits effectively.
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Prevent, mitigate, and predict” was a core theme at ITC Vegas this year, underscoring the path to a sustainable industry. While technology brings unprecedented data and tools, is insurance ready to catch the baby? Yes and no. Insurers vary widely in leveraging these tools, as it’s not just about technology—it’s about transforming target operating models.”
Dr. Magdalena Ramada | Global InsurTech Innovation Leader
At WTW, we provide tailored solutions, like Radar, that drive innovation and ensure insurers are equipped to navigate the complexities of our industry. Our expertise allows insurers to deploy more intelligent strategies, respond faster to market changes, and maintain a competitive edge.
To learn more about our technology and solutions and how we can help drive innovation in your business, please visit our website or email us at ict@wtwco.com.
