Some insurers are already using emerging technologies, while others haven�t even started to research their potential use. This ever-widening gap will allow some carriers to gain-and most likely sustain-a competitive advantage.
New York, NY, USA – November 28, 2005 – In a new report, “Using Emerging Technology for Competitive Advantage: A Near-Term Guide for P/C Insurers,” Celent examines these technologies and how carriers should be using them.
Emerging technologies that are already in use by consumers or other industries�and in some cases a handful of insurers�and are being increasingly considered by carriers include open source software, GPS/GIS, new wireless technologies, telematics such as OnStar, and VoIP.
Other less mature technologies are starting to be piloted or at least investigated by carriers. These include grid, cluster, and/or utility computing, RFID, next-generation telecommunications such as satellite phone and Internet connectivity, and electronic forms, such as e-applications that leverage e-signatures or digital pens and paper.
Other technologies are just now getting to market, such as WiMAX and 3G, new wireless technologies that will allow for always-on, broadband connections virtually anywhere, or mesh networks like SmartDust and MeshScape. These technologies could help alert building management or even insurers to a wide array of problems or potential problems to avoid large claims.
“In general, carriers need to improve their use of technology in order to cut costs, boost revenues, and stay competitive with potential entrants to the industry,” said Chad Hersh, a senior analyst in Celent�s insurance practice and author of the report. “Carriers need to focus on quick wins and high-ROI projects to help develop a culture that supports leveraging emerging technologies. Doing so could lead to short-term and long-term benefits for carriers that embrace them.”
The report also examines the likely adoption rates for certain key technologies.
A similar report, “Using Emerging Technology for Competitive Advantage: A Near-Term Guide for Life/Health Insurers,” is also available and covers emerging technologies for life/health carriers.
The 32-page report contains six tables and three figures.
A table of contents is available online.
Celent’s service offering falls into two categories, consulting and research, each of which is dedicated to technology in the financial services industry. We help banks, brokerage firms and insurance companies use IT to enter new markets in the shortest possible timeframes. All of our services are geared towards facilitating better informed, faster decision making. For more information visit www.celent.com.