Top Ten Trends in L/H Insurance E-Business 2007 and Beyond

October 30, 2007


Boston, MA, USA October 30, 2007

Top Ten Trends in L/H Insurance E-Business: 2007 and Beyond

Electronic application submissions have grown dramatically since 2004 but still account for less than half of all new business.

In 2004, Celent published a report on trends in life/health e-business that contained 10 projections for 2007. In a new report, , Celent revisits those projections based on updated survey data from more than 20 life/health insurer executives and looks forward to 2010.

"In general, our predications from 2004 have held up," notes Matthew Josefowicz, coauthor of the report and managing director of Celent's insurance practice. "If anything, we underestimated the growth in electronic application submissions. Over 60% of this years' respondents said that more than a quarter of their apps came in electronically. This number represents more than twice as many as those experiencing this level of volume in 2004."

"Policyholder portals are also an investment focus for life/health insurers, and if they do not have one already, most insurers have plans to implement one in the future. Policyholder portals will need to provide a higher level of functionality if insurers want them to remain competitive," comments Jeff Goldberg, senior analyst in Celent's insurance practice and coauthor of the report.

Looking forward to 2010, Celent sees the following developments on the horizon: 

  • More sophisticated interfaces, built on AJAX or the next generation of web technology

  • A steady increase in the percentage of new business submitted online

  • An incremental increase in policyholder portal adoption

  • Ubiquity of online quoting and sales in term life and individual health, and an expansion of needs analysis and product guide tools for all product types

  • At least a 50% increase in online marketing spending, and a greater increase in search engine optimization 

  • The 31 page report contains 21 figures analyzing survey data. A table of contents in available online. A companion report, Top Ten Trends in P/C E-Business 2007 and Beyond, was published in September 2007.

    Members of Celent's Life/Health Insurance research service can download the report electronically by clicking on the icon to the left.  Non-members should contact for more information.  

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
Tel: +1 212 345 1366

Europe (London)
Chris Williams
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
Tel.: +81 3 3500 3023

Table of Contents

Boston, MA, USA October 30, 2007

Top Ten Trends in L/H Insurance E-Business: 2007 and Beyond

Executive Summary 03
Introduction 04
Revisiting Celent's 2004 Predictions 05
Top Ten Trends 2007 and Beyond 08
Budgets and Vendors 09
Agent Portals 12
Policyholder Portals 17
Prospect-Facing Websites 22
Online Marketing 24
Projections for 2010 27
Conclusion 28
Appendix: About the Survey Group 29


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