What are P&C core platforms?
P&C core platforms encompass a number of foundational IT systems that support the critical operational functions of a property and casualty insurer. These can include underwriting, quotation, policy issuance, billings and collections, and claims management. Ideally, these P&C core platforms should be integrated or provided by the same vendor as a software suite of applications that spans the entire insurance life cycle. Previously, many of these systems were installed on-premises, but cloud-based systems have become increasingly common.
What are the business benefits of P&C core platforms?
P&C core platforms provide a number of benefits:
- Cost savings: By consolidating business operations onto one or more P&C core platforms, insurers can reduce the cost and administrative burden of integrating and managing multiple disparate systems.
- Simplicity: Integrated P&C core platforms make maintenance and software updates easier when compared to managing multiple systems from different vendors. If P&C core platforms are cloud-based, this process is even easier and faster, and can be performed with fewer human resources and lower cost.
- Deeper customer insight: Integrated P&C core platforms make it easier to gain a 360-degree view of the customer and leverage real-time data analytics. Through a single interface, users can see all products each customer has used in the past and currently uses. Due to the advanced visibility that P&C core systems provide, it is easier to analyze and predict customer behavior and to uncover new opportunities for cross-selling and/or upselling.
- Business agility: With deeper customer insights, insurers can identify market and industry trends earlier. This makes it possible to react to these changes more quickly, potentially resulting in increased profit and a competitive edge.
- Digital transformation: Modern P&C core platforms make digital transformation easier, including the adoption of automation and artificial intelligence.