Research from consulting and IT services provider NTT DATA UK suggests London Market investment in modernisation efforts will double over the next three years.
The research surveyed 100 senior London Market syndicates, brokers and managing agents, and revealed that 60% of respondents consider business-as-usual to be unacceptable over the next three years.
Additionally, 67% agreed innovation was key to success and 69% were concerned at being left behind by modernisation.
London Market businesses see a broad scope of applications for new technology, with Robotic Process Automation identified by 70% as having a significant potential impact.
73% particularly pointed to RPA’s ability to speed up the manual processes that still dominate back-office operations in insurance.
Other motivations for driving increased uptake of technology were data security, increased efficiency and customer-client demand.
Over half are focusing budget on AI/machine learning, exploring use cases like using AI in underwriting to recognise patterns in large data sets and inform human decision making.
“After three hundred years as a world leader, the London speciality insurance market faces numerous challengers biting at its heels,” said Kim Gray, Head of Insurance and Diversity and Inclusion at NTT DATA UK.
“This research demonstrates that the drumbeat of digital innovation is forcing the incumbents to wake up and start to plan for the future. Technologies like robotic process automation offer huge opportunities for insurers to speed up previously manual processes, cutting costs and improving the customer experience.
“RPA, and other automation technology, sits neatly alongside existing employee skillsets, empowering them to spend more of their time on value-added analytical tasks.”