Rethinking Insurance Network Infrastructure: The Case for Convergence

by Donald Light, February 15, 2005

Abstract

San Francisco, CA, USA February 15, 2005

In a new report, , Celent examines the rapidly emerging trend of combining separate voice and data networks into a single, converged network and finds that this gives insurance companies several important financial and business benefits.

AsDonald Light, senior analyst in Celent's insurance group and author of the report, explains, "The financial benefits of a converged network include reducing network maintenance and support expenses, and lower long distance calling charges. The most dramatic business benefits in the short term are realized when a converged network transforms a telephone-oriented call center into a multi-channel contact center that seamlessly integrates voice, data, email, and instant messaging."

Light continues, "Other business benefits include greater staff accessibility (for example, through unified voicemail and email messaging); greater information accessibility (e.g., through the ability of an underwriter and agent to share computer screens during a telephone conversation); and lowering the barriers of time and place (i.e., facilitating real-time cooperation across continents or oceans)."

The report describes how a converged network also addresses some of the insurance industry痴 most pressing priorities: compliance, privacy, and security. It includes a checklist of technical issues that can form the basis of planning discussions among business and technology managers.

The 26-page report contains four tables and two figures. A

is available online.

of Celent Communications' Life/Health Insurance and Property/Casualty Insurance research services can download the report electronically by clicking on the icon to the left.  Non-members should contact info@celent.com for more information.

        

Send mail to info@celent.com with questions or comments about this Web site.

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 subsidiary 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

 

San Francisco, CA, USA February 15, 2005

Rethinking Insurance  Network Infrastructure

Return to report Abstract

 

EXECUTIVE SUMMARY 3
INTRODUCTION 5
TO CONVERGE OR NOT TO CONVERGE 6
DIRECT FINANCIAL BENEFITS 10
  Reducing Maintenance and Support Expenses 10
  Lower Long Distance Calling Charges 11
  A Converged Network ROI Framework 11
FROM CALL CENTER TO CONTACT CENTER 13
  What's In a Name? 13
  What's In a Converged Contact Center 14
  The Benefits of a Converged Contact Center 15
HOW EVERYTHING ELSE CHANGES 16
  People Become More Accessible 16
  Information is More Readily Available 16
  Time and Place are Less Constraining 17
PRIVACY, COMPLIANCE, AND SECURITY 18
  Privacy Statutes and Regulations 18
  Compliance: Hurricane Eliot 19
  Security: The Threats Within and Without 20
TECHNICAL ISSUES CHECKLIST 22
CONCLUSIONS 24
OBJECTIVITY & METHODOLOGY 25

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