Detailed Results Give Insurance Investment and Accounting Professionals an Insightful View into Industry Trends, Concerns, and Operations for Peer Benchmarking
Clearwater Analytics®, a leading provider of web-based investment accounting and reporting for insurance companies, today released the results of The 2015 Insurance Investment Benchmark Survey. Over 425 investment and accounting professionals with investment portfolios ranging from less than $100M to larger than $20B from nearly every insurance carrier type responded to the survey. Based on their responses, these survey results provide valuable insight into insurers’ investment trends, challenges, and concerns.
The 2015 Insurance Investment Benchmark Survey asked respondents a wide variety of questions that revealed compelling statistics into what insurance investment and accounting teams think about the investment environment, upcoming regulatory changes, different investment strategies, and operational processes and systems. The responses provide a clear picture of insurers’ challenges and concerns:
- The low yield, low interest rate environment continues to be the top investment challenge for both investment teams and CFOs, but 83% said they believe that interest rates will rise in the next year.
- Insurers currently investing in alternative asset classes are planning to increase these allocations, while those who are not plan to continue that strategy.
- Manual processes were cited as the major impediment to more efficient and strategic operational processes, preventing many insurers from closing their books as quickly as needed—with CFOs wanting them closed up to two days sooner.
- Those who rely on outsourced software-as-a-service (SaaS) solutions are the most satisfied with their investment accounting, performance, risk, and compliance monitoring. 44% of respondents said they use an outsourced solution.
“While many survey respondents indicated they were satisfied with their existing processes and systems, they still cited major problems with manual processes and difficulties in meeting deadlines,” said Richard Pullara, Insurance Solutions Specialist at Clearwater Analytics. “Benchmarking provides them a unique opportunity to stop and evaluate their processes and systems and decide how they can better address the challenges introduced by the status quo.”