Just 10% of insurers have completed their digital transformation process

Just 10% of insurers across Europe, the Middle East and Africa (EMEA) have completed their digital transformation process, according to a new report by Celent.

The report said insurers were changing as the industry moved from ‘person-to-person interaction toward person-to-machine or machine-to-machine’. The study found, however, that more than half (55%) of EMEA insurers are not at the stage of considering digital transformation or still have no plans to invest.

This compares to 72% in the Asia-Pacific market where 22% have completed this process and a further 50% are already working on this.

“Digital transformation is a major investment driver for insurance companies globally, and we think digitisation programmes will trigger further spending over the next 5 to 10 years.” said Karen Monks, a senior analyst within the Celent insurance practice and co-author of the report.

The study said that the integrating and coordinating of ‘disparate and siloed delivery channels’ will be critical to satisfying customer expectations over the next few years.

“We believe that the next wave of digitisation will be around gathering more data through connected devices in order to improve the basics of insurance,” added Nicolas Michellod, also a senior analyst within the Celent insurance practice and the other co-author of the report.