SaaS Policy Administration Systems: The Time Is Now

SaaS has broken out of the enterprise category, and is making real headway in the heart of the insurance application stack: policy administration systems. Celent research on North America property/casualty policy administration systems finds that:

• 42 out of 45 profiled North America policy administration systems can be licensed on a SaaS basis

The number of policy admin systems that have actually been SaaS licensed is smaller, but still impressive:

• Just under half (42%) of the policy administration systems have one or more insurers with a SaaS license

A deeper dive into the numbers shows that there is a lot of variability among policy administration systems regarding the proportion of SaaS licenses to all licenses—as measured by the Celent Insurance System SaaS Score, CISSS (SaaS licenses as a percent of all licenses)

• About three-fifths of these systems have a CISSS score between 5% and 33%
• And one-third have a CISSS score from 90% to 100%

With this solid foundation, SaaS’ core system growth prospects look bright.