micHael Witt
VP Product development, duck Creek Technologies
What are the advantages and disadvantages of
a best-of-breed versus an end-to-end solution?
When does it make sense for a carrier to choose
one over the other?
the disadvantage is in making a choice between the
two in the first place. often times the right decision is to
choose a platform for your most pressing problems and
delay decisions about replacing your entire operational
infrastructure. a robust insurance platform provides
the kinds of integration and application services that
enable you to create a seamless experience regardless
of your choice to use point solutions or products from a
single vendor. duck creek’s policy administration system
provides the kind of platform functionality that enables
a carrier to begin today reaping these benefits without
sacrificing the ability to make choices later.
in terms of the rip/replace discussion, what type
of advice would you offer a carrier with separate
policy admin systems that support separate lines
of business? is a single solution the answer? if
so, how should they approach and successfully
embrace this challenge?
Here again the right strategic approach is to pursue
a platform approach that preserves your ability to make
critical decisions when the facts about them are the
clearest. making decisions now about projects that are
3-5 years out creates risk that is unnecessary. getting
the product development infrastructure correct, and
building on a solid insurance platform can make the
difference between success and failure in both the long-term and the short-term. begin with the problems that
you have the clearest target for and choose a platform
that enables you to hit that target and create the most
flexibility for the future.
contAct informAtion
making decisions now
about projects that
are 3-5 years out
creates risk that is
unnecessary.
— micHael Witt
duck creek technologies
;e bottom line, says Novarica in May reports assessing the current solution provider marketplace for life/health/ annuity policy administration systems
and for property/casualty systems, is:
“Inflexible legacy policy administration systems can prevent insurers from
being able to take advantage of new
opportunities and being able to meet
customer and agent expectations.” It
points out that besides attracting and
retaining top producers, carriers are
working to attract a new generation of
producers who won’t tolerate the challenges presented by legacy solutions.
Another major catalyst for policy admin modernization, says the Novarica report, is a desire to reduce the sizable costs associated with running myriad legacy systems on aging platforms.
A robust, adaptable
processing platform
provides the stability
and scalability to support
rapidly changing products
and the interdependent
business processes.
— James mccUlly
guidewire software, inc.
James mccUlly
Product marketing manager, PolicyCenter,
Guidewire software, Inc.
What are the advantages and disadvantages of
a best-of-breed versus an end-to-end solution?
When does it make sense for a carrier to choose
one over the other?
While ‘best-of-breed’ would seem to be the most
favorable solution, if achievable, there are definite
advantages to an end-to-end solution. it is hard to argue
that a best-of-breed solution provides the highest level
of functionality and implementation flexibility. However,
a great deal of respect must be given to the integration
effort between solutions on different platforms and
designs. in this regard, what the end-to-end solution
may sacrifice in specific functional areas, it gains in
having the components pre-integrated. given the
drawbacks inherent to each of these options, the optimal
solution would be a single platform best-of-breed option.
How are policy administration systems addressing
carriers’ speed-to-market concerns? How has
the technology advanced to provide faster product
development?
carriers’ speed-to-market concerns, specifically the
need to modify products rapidly to adjust to market
changes and opportunities, are being addressed by
modern policy administration systems through flexible
design platforms that support product definition within
an adaptable processing environment. to speed the
creation and adjustment of products, existing products
can be leveraged directly to tailor market-specific
offerings while consolidating the overall product
maintenance effort. a robust, adaptable processing
platform provides the stability and scalability to support
rapidly changing products and the interdependent
business processes.
contAct informAtion
guidewire software, inc.
2211 Bridgepointe parkway,
san mateo, california 94404
1.650.357.9100 | www.guidewire.com
info@guidewire.com
