Views of the Past and Future: Trends and Predictions for North American Illustration Systems

by Karen Monks,  Colleen Risk, September 23, 2016
Industry Trends
North America

Abstract

Celent has published a new report titled Views of the Past and Future: Trends and Predictions for North American Illustration Systems. The report was written by Colleen Risk and Karen Monks, analysts in Celent's Insurance practice.

For 2016, increased emphasis on the illustration output, the use of mobile devices, user-level configuration, and full integration with other point-of-sale tools are just a few of the functionality changes Celent has seen in vendor based-illustrations solutions. 

An insurer looking to buy a new stand-alone illustration system can choose from about 15 vendors in North America. These include vertical sellers of life insurance software with a cadre of tools for front end of the sale; international technology software and service providers currently selling to or entering the North American market; and niche software developers that build bespoke systems. In total eight vendors reported 48 sales. Four of these vendors were in both Celent reports and accounted for 34 of these sales.

Today, if an insurer wants, it can manage what used to be myriad of point-of-sale tools that included needs analysis, advanced sales support, suitability, illustrations, and e-applications through one interoperable, integrated vendor system, instead of a combination of vendors and in-house systems. Today’s illustration systems also offer increased transparency due to regulatory requirements, omnidevice support, some user level configuration, and improved user experiences with prefilled data, fewer forms, and labels in conversational English.

Celent estimates that, during the two-year period 2016–2017, there will be 18 North American illustration system deals.

“Staying current with regulatory requirements is necessary for illustration vendors and an advantage to owners of a vendor-based illustration system,” says Colleen Risk, senior analyst in Celent’s Insurance practice and coauthor of the report. “Celent believes the need for transparency and regulatory readiness will increase the number of illustration systems sold in the next two years.”

“Illustration vendors are becoming more customer-centric, with improved graphics, improved workflow, and on screen help,” says Karen Monks, analyst in Celent’s Insurance practice and coauthor of the report. “The improvements in look and feel will allow insurers to provide a better customer and agent experience."

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 part 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

 

Key Research Questions

2

 

Report Approach

2

 

Report Limitations

3

The North American Stand-Alone Illustration Systems Market

4

Recent Illustration Systems Deals

5

Trends That May Drive Illustration System Sales

7

 

Usage Trends

7

 

Functionality Trends

8

 

Predictions

10

Estimate of Illustration Systems Future Deals

13

Conclusion

14

 

Advice for Life Illustration Vendors

14

 

Advice for Insurers

14

Leveraging Celent’s Expertise

15

 

Support for Financial Institutions

15

 

Support for Vendors

15

Related Celent Research

16

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