Risk, Agility and Functionality

There are two solution models available when selecting a new insurance application:

• Insurance Backend / Web frontend / Integration layer (Legacy model)
• One solution (Inamon model)

Here we will look at differences between the two models.

Remove Risk

The implementation of a new insurance application, or enhancements to an existing application, is considered to carry some risk, and rightly so. The question is where the risk lies and how it can be mitigated.

A scenario could be like this: Our old legacy system is no longer up to the job, and while we are upgrading, we have decided to enhance our online capabilities.

An option often chosen is to buy an insurance backend application, and then develop a new web frontend and the integration layer in between. In other words, the backend is something known and the frontend and integration layer doesn't exist.

This is not a risk free option, and several web frontend projects have ended in tears and dispute, because it generally is a lengthy, complex and costly development.

Inamon doesn't have a frontend and a backend, but is one integrated solution. And it is all there today. Before any decision is taken to implement, Inamon can be tested and tried, both on backend functionality and frontend functionality. This is by far the most risk free option available.

Maintain Agility

Business agility is crucial in today's environment. Insurance companies must be able to change their systems and product definitions quickly to respond to demand, competition, demographic changes, environmental changes etc.

Many insurance companies are already struggling to implement simple changes to the product definitions in their backend systems. E.g. adding a few more questions, or enable a Home product to capture multiple bicycles details, can cause headaches for many.

With the "Legacy model" these problems are being compounded by the layered approach. To change product definitions require changes to all areas, and these changes then needs to be kept synchronised.

Some companies didn't see these problems when they first implemented a frontend, but are now feeling the pain of change.

Because Inamon is one application, it only needs to be maintained in one place. Furthermore, it is based on modern tools which facilitate rapid changes.

Enable Functionality

The two models also offer considerably different functionality levels when we are talking online self-service.

Most insurance companies who are taking the "Legacy model" approach only ever implement initial Quote and Buy functionality. This is because their frontend and backend only has a one way communication between them. No Legacy model approach has an elegant implementation of two way communication, and this excludes proper midterm adjustments, renewals etc.

When selecting a new solution these limitations are not always clear to the decision makers, but it is important to acknowledge them to ensure the investment can satisfy the long term ambitions. Inamon does not have a frontend and a backend, and because of that have none of these limitations, and all functionality can easily be made available to the customers, offering them a proper self-service platform.