Cloud Services for the Insurance Industry

A few years ago, insurers were doubtful of cloud services. Today? Not only are more insurers embracing cloud-first strategies, but the cloud has become the preferred hosting option for much of today’s insurance technology. Building and hosting applications in the cloud allow insurers to direct their attention to running their business as smoothly and efficiently as possible while servicing customers without worrying about the type of infrastructure being used. Cloud services are also able to handle other capabilities like big data analytics.

We have been seeing a drastic increase in our insurance industry customers migrating their business to the cloud and away from the traditional office.  In the traditional office, team members were leveraging fax, shared folders on an on-premise server, and insecure email to manage their clients. With the embracement of technology, the underwriters themselves have provided ample resources for the insurance agents to manage policies, claims, and write additional business.

In addition, the insurance agencies are now leveraging encrypted email to communicate sensitive information, shared secure cloud storage for documents, and cloud-based platforms provided by the underwriters. By leveraging these technologies, the agencies are all taking a much greater step towards being HIPAA compliant.

Cloud Services Insurance Industry.

The Future of Cloud Services in the Insurance Domain

Cloud computing is no longer dependent on a basic digital infrastructure to replace an on-premise server. Today’s cloud services are of greater priority, making use of advancements such as machine learning (ML) and data analytics to analyze communications and data into insurance claims forms. Competitive markets require insurers to respond quickly to changing consumer needs. Therefore, more insurers are ready to take action towards adopting cloud services for the insurance industry.

Insurers with existing cloud usage typically utilize the public cloud, but some insurers do use private clouds or a hybrid cloud strategy. Generally, larger insurers rely on public clouds. Each cloud platform has its own advantages; partnering with a single cloud provider reduces your learning curve. On the other hand, partnering with multiple cloud providers guarantees that each application will be paired with the best platform. With the cloud, there is no need to lay out cash upfront for servers and the data centers. Instead, insurers only have to pay for the cloud services they actually use.

Using Cloud Services to Manage Fraud and Risks

Using cloud services developed for insurers can help insurance providers manage fraud and risks, as well as reduce the costs of recovery after a disaster strikes. Cloud services for the insurance industry do the following:

  • Makes business-critical data backup and disaster recovery easier and more cost-effective. With cloud services, data can be replicated at multiple sites on the cloud provider’s network.
  • Integrate risk assessments within an environment, enabling an insurance provider’s internal IT team to make wiser decisions about risks and comply with regulations.
  • Identify fraudulent and other displeasing activities and separate recovery opportunities throughout the entire claims process.

No business is immune to fraud, ransomware attacks, data loss, or significant downtime in the event of a natural disaster, cyberattack, or human error. Avoid this risk with an off-premise cloud solution that ensures your critical insurance data is never vulnerable.

Improve Productivity with Cloud Services

Improving productivity should be a given. Insurers no longer want to be burdened with unnecessary heavy lifting. Insurers want to enhance underwriting, simplify claims, and enhance the customer experience. Unfortunately, the ability to do these things can be impeded when they are taking on things they shouldn’t be doing.

Data centers require internal IT teams to spend a significant amount of time and resources on hardware setup and implementation, updates and patches, and other tedious IT responsibilities. Insurers can redirect these tasks to the cloud and leverage a variety of benefits, including:

  • A boost in productivity from shifting IT management responsibilities and IT resources to achieve business objectives
  • Setting up cloud services within the organization in a short period of time. Through the use of cloud services, the quick setup will reduce any wasted time and efforts on modifying settings, such as making changes to credentials or determining which devices should be connected to your network.
  • Updates that do not require any special expertise.

Cloud services ensure that insurers make the transition towards a business-critical strategy and a parallel IT approach that accepts the power of the cloud and everything the cloud has to offer.

Leverage the Cloud for a Competitive Edge in the Insurance Industry

Cloud services bring hope to the insurance industry, which has been slower than other industries to adapt to change. The insurance domain has fallen behind, and unfortunately, legacy systems are still dominant in the insurance industry. As a result, outdated systems are not able to allow insurance companies to fulfill growing demand and truly innovate.

Cloud services and the adoption of these services in the insurance industry are not going anywhere. From its cost-effectiveness and scalability to its ability to enable quick deployment and risk management, eliminate IT logjams, and simplify access to data, cloud services offer a variety of advantages to insurance companies. Cloud services through Azure, Amazon Web Services, and Google Cloud bring scalability for insurance companies, which will allow employees to have easy access to business-critical data that would typically cost a fortune for any company to invest in.

With the emergence of work-from-home and hybrid environments, cloud services bring the power of enterprise capabilities into every home and work environment while maintaining operational stability and security. The competitive insurance industry is putting added pressure on insurers to take measures that will put them in a better position to gain an edge over the competition.

Cloud services provide a cost-effective approach that allows insurers to simplify and automate IT-related responsibilities, as well as mission-critical processes. Teamspring’s cloud services let insurers run hardware and applications securely from any device on the network while maximizing adaptability, flexibility, and agility.

Teamspring offers the greatest level of protection for your critical data and information on our secure platform. The insurance companies that adopt cloud services will start to reap the benefits in a multitude of ways. It’s not just about reducing infrastructure costs,  it’s about enabling insurers with the resources needed to address issues in the industry.

If you are looking to build an insurance application or need help migrating to the cloud, the Teamspring team can help. Contact us today.

Thanks to our friends at Velocity IT in Dallas for their assistance with this article.