Detailed profiles and comparisons of 14 vendors and limited profiles of an additional 20 vendors reveal policy administration systems are becoming cheaper, more flexible, and increasingly offered with .NET.
There are a wide range of choices of policy administration systems among both established vendors and entrants. This market is changing due to consolidation among European vendors. One notable example, the acquisition of Sirius Financial Services by Software Solutions Partners, will change the UK vendor landscape for both brokers and insurers. Celent expects this evolution will continue as a result of the injection of private equity, initial public offerings, and more acquisitions, according to a new report, European Policy Administration Systems 2007: General Insurance Vendors, Celent’s second report on the European vendor landscape for general insurers.
“As prices drop, implementations become quicker, and vendor options become more plentiful, now is indeed a very interesting time for general insurers to be considering a new policy administration system,” says Catherine Stagg-Macey, senior analyst in Celent's insurance practice and author of the report.
Entrants offer more flexible pricing models, moving away from per module/user to the number of policies processed or a percentage of the premium. Technical flexibility has increased. Solutions offer multiple integration options and many operate on more than one platform. More .NET offerings are available in 2007 than there were in 2005, reflecting the general market acceptance of both technologies.
Celent’s new report is designed to help insurers understand this marketplace. The report contains detailed profiles of 14 policy administration systems and limited profiles of 20 additional systems.