The Changing Technology Landscape of Group/Voluntary: A Primer

by Tom Scales, October 20, 2016
Industry Trends
North America

Abstract

Celent has released a new report titled The Changing Technology Landscape of Group/Voluntary: a Primer. The report was written by Tom Scales, a research director with Celent’s practice.

The group/voluntary market is undergoing revolutionary change. From new channels, to exchanges, to benefit administration providers, companies are struggling to keep up. This report outlines the technology evolution to stay current and leapfrog the competition.
 
Many insurers are relying on aging technology. Given the pace of change in the industry, significant investment is required to keep pace, let alone move past their competitors. In the future state, the core PAS will provide interconnections to state-of-the-art portals for each touch point. To truly leapfrog the competition will involve a full-scale transformation project. It will touch every aspect of the organization, be quite expensive, and take longer than expected. There are, however, short-term projects to start on.
 
“The pace of change in this space is increasing,” said Scales. “We are seeing major transformation projects in numerous companies.”

“This report is targeted at company leadership within an insurer. Hopefully this will help the CIO speed up transformation discussions within the company,” he added.

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned operating unit of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

Executive Summary

1

 

Key Research Questions

1

Introduction

2

 

Goal

3

A Typical Current State

4

 

Traditional PAS

5

 

Enrollment

5

 

Customer Service

5

 

Single-Carrier Billing

6

 

Claims

6

 

Analytics

6

 

Enrollment Providers

6

 

Broker Quotes

6

 

Broker Agency Management

7

 

Product

7

An Example Future State

8

 

Componentized PAS

9

 

Enrollment

9

 

Customer Service

9

 

Claims

9

 

Multicarrier Billing

10

 

Rules Engine

10

 

Analytics

10

 

Broker Agency Management

11

 

Broker Portal

11

 

Employee Portal

11

 

Employer Portal

11

 

Enrollment Providers

11

 

BenAdmin Providers

12

 

Cloud Implementations

12

Leapfrogging the Competition

13

 

Health Checks

13

 

Portals

14

 

BenAdmin Systems Interconnections

14

 

Policy Admin System Implementation

14

 

Full-Scale Transformation

14

Conclusion

16

Leveraging Celent’s Expertise

17

 

Support for Financial Institutions

17

 

Support for Vendors

17

Related Celent Research

18

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