4299 Altus Insurance Whitepaper FINAL SPREAD - Flipbook - Page 22
Isolation won’t deliver transformation
In the modern insurance business, all functions need
access to all of the data all of the time, to make the
most informed decision. Underwriting is no di昀昀erent.
All risk decisions should be made in full sight of
claims, exposure and portfolio data and even
within the underwriting process itself. The whole
journey must be addressed and connected to
deliver optimum results.
As the graphic below illustrates, successfully tackling
an issue solely in the submission stage of the process
may simply push the problem into the risk review
stage. This starts to make sense of why so many
transformation programmes fail – tackling discrete
problems in isolation won’t deliver modernisation
but doing so within the broader context of business
process, almost certainly will.
Perhaps more fundamental to the successful delivery
of a modernisation programme is the purpose of
modernising. In its rush to keep pace with the outside
world, insurance is at risk of falling into the trap
of transforming for the sake of transformation, an
approach that will result in some positive outcomes.
However, when processes are explicitly designed
to deliver upon an organisation’s core purpose,
insurers can start down a modernisation track that
could ultimately deliver the disruptive influence that
Insurtechs have only scratched the surface of.
Example underwriting process by e昀昀ort
Submission
Review/
Analysis
Ingestion/
Application
Pricing
Exposure
Assessment
Provision
of T&Cs
Quote or
Response
Underwriting
E昀昀ort
Focus on 昀椀xing submissions
Fix the subprocess
Underwriting
E昀昀ort
Underwriting
E昀昀ort
Unintended consequence
(kick the problem down the road)
Figure 3.3: Underwriting e昀昀ort across the value chain
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