Migrating legacy insurance data
Insurers know they need to modernize their policy administration systems to grow their businesses more profitably. So why would some insurers replace their administration system, yet leave policies on the legacy platform? Some insurers lack the resource capacity or capability in house. Others consider the costs and potential risks too great compared to the potential return on investment. These were valid concerns, until now.
New tools, technologies and delivery approaches make it more cost effective than before to migrate legacy blocks with substantially less risk. They also unlock business value from the data and provide valuable insights that can drive product innovation, market opportunities and deliver a consistent consumer and agent experience across product lines and channels.
Consider the following advancements supporting the migration movement:
- New iterative methodologies avoid massive lengthy migrations; and instead, break down migrations into smaller projects, which can reduce risk and deliver incremental value up front.
- Source format-agnostic conversion tools enable you to not only extract, but also transform the data to work in the target system. These tools use automated table and data mapping and balancing, along with data validation testing and cleansing reports. They streamline the process and ensure data integrity.
- Data services and data integration technology improve access to a wider variety of data types, and the cloud provides the scale businesses need to manage volumes of data.
Migration is much more than moving volumes of policies. It's about reducing operational risk to the business and clients. Therefore, it’s critical that the data work in the target system and across internal and external business systems. Therein lies the secret to successful data migration – a strategic enterprise data approach – one that delivers business value without compromising business operations. This Point of View offers a proven approach, successfully applied by some of the largest U.S. life insurance and annuity providers, to migrate legacy policies.