Ever wonder what insurer CIOs would do with an extra $5 M in next year’s IT budget? So did we. So we asked 120 of them. Here’s what they said:
- Despite the intense focus on data and analytics in insurance IT spending and project prioritization, more than 30% of insurer CIOs would spend more in this area if they had the budget. Clearly, this will be an area of continued high investment across the industry for the next few years.
- There is a huge backlog of demand for core systems projects at insurers under $1 billion in annual premium, and a general belief that these projects can be accomplished for investments in the single-digit millions. If business conditions improve and budgets can be made available, we expect continued high volumes of activity in this area.
- 1 in 5 insurers would invest in improved mobile capabilities, to improve both customer and agent experience.
- Many CIOs have ideas on how to use technology to move the business forward that may not be captured in the traditional governance and prioritization process. Business leaders should make sure they are asking the question and incorporating the answers into deepening their understanding of their companies’ challenges.
- Money is not the only scarce resource CIOs need – in many cases, business time and attention is even more scarce than cash. As one respondent put it: “No matter how much more money we had, the organization could not support the delivery of any more services. The capacity for the business support of IT projects is all but tapped out at this point.”
Check out our new report, which contains over 100 verbatim responses from insurer CIOs to this question.