Technology Market Snapshot: Mid-Size Insurance Companies

March 11, 2002

Abstract

New York, NY, USA March 11, 2002

 

Celent Communications predicts that mid-sized U.S. insurance companies will spend roughly US$1.1 billion on new technology projects over the next 3-5 years.

In a new report, entitled , Celent examines the composition and needs of this key market for insurance technology providers: the over 900 U.S. Insurers with direct written premiums between US$1 billion and US$100 million.

According to Matthew Josefowicz, Celent analyst and author of the report, "After sitting out the past couple of years of technological innovation, mid-size carriers are in need of the advantages that technology can bring to their struggle against the major carriers."

For mid-size insurers, the report notes, increasing distribution and making it more efficient trumps the other concerns like CRM and data-mining that pre-occupy larger companies. Accordingly, Celent predicts that new project spending by mid-size insurance companies will primarily be on Web-enabled policy administration systems and agent extranet systems.

Due to their greater numbers, the smaller P/C companies are expected to make up the largest single segment of this projected spending.

The report includes multiple charts and tables segmenting the mid-size insurer market by company size, product line, and geographical location. It also includes a brief summary of the offerings of seventeen leading companies that offer products targeted at mid-sized insurance companies.

A Table of Contents is available online.

of Celent Communication's Life/Health Insurance and Property/Casualty Insurance research services can download the report electronically by clicking on the icon to the left.

        

Send mail to info@celent.com with questions or comments about this Web site.

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned operating unit of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

 

New York, NY, USA  March 11, 2002

Return to report Abstract

 

EXECUTIVE SUMMARY 3
PROPERTY/CASUALTY COMPANIES 4
  Number of Companies 4
  Group Affiliation 5
  Primary Products 7
  Geographic Distribution 8
  Distribution Methods 8
LIFE/HEALTH COMPANIES 10
  Number of Companies 10
  Group Affiliation 11
  Primary Products 12
  Geographic Distribution 14
  Distribution Methods 14
TECHNOLOGY TRENDS 16
  Fear of Competition and Fear of the Web 16
  Distribution, Distribution, Distribution 16
  Web-Enabled Policy Administration Systems 17
  Business Process Outsourcing 17
  Direct Internet Sales 18
TECHNOLOGY SPENDING ESTIMATES 19
  By Project Type 19
  By Company Size 20
OVERVIEW OF SELECTED TECHNOLOGY PROVIDERS 21
LOOKING FORWARD 23

 

        

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