Cloud helps insurers manage risk modelling by delivering immediate value
Are you delivering immediate value to the business and your customers? Risk modelling is a fast-growing workload in insurance, and unlimited capacity, increased agility and the significant reduction in total cost of ownership are keys to business value.
The faster you can run your models and the more scenarios you run within them, the more accurate your models will be. Managing an infrastructure to deliver capacity that you only use sometimes provides zero value. Differentiate yourself with the Cloud.
Complying with new rules
Regulatory demands are driving insurers towards the cloud. Some of the major issues encountered over the last few years – Solvency II, Dodd Franks and the International Financial Reporting Standards – mean that insurers now have no choice but to expand their existing infrastructure. Doing so could take up to nine months before any value is realized. The cloud allows you to spin up a new environment in minutes, delivering capacity as and when it’s needed so you can stay focused on your business rather than develop your infrastructure.
Key Drivers of cloud computing in Insurance
The insurers who move quickly to embrace cloud will gain a competitive advantage that others may struggle to match. Building a flexible, nimble and customer-centric business model drives profitable growth, and allows you to achieve high performance in the industry. Key drivers include:
- Reducing total costs of IT ownership and operation
- Enabling customer-centricity
- Handling peaks in demand more easily and at lower cost
- Driving new business opportunities
- Maximizing renewals by customers
- Better relationship management
Debunking security misconceptions
Any new way of doing business centers around trust. In an industry where companies value and evaluate risk every single day, it’s not uncommon to see risk in doing business in the cloud. Insurers often ask: is the cloud secure? Does it meet regulatory requirements? Can it satisfy the needs of users? And is it equivalent to or better than what can be provided in-house?
The answer is YES.
Microsoft takes security very seriously. Trust is key to customers committing to a platform and new way of doing business. We work with the regulators, deal with compliance and assure that all security standards are met. Detailed security, privacy and compliance information about our cloud services is available through the Microsoft Azure Trust Center.
Get an in-depth look at how Microsoft Azure enables more effective risk modelling by downloading Microsoft’s ‘Empowering Insurance Risk Modelling’ publication.