"Form follows function" was a phrase coined in architecture. Its main truth, however, lies in almost all technical aspects. If the core of something does not achieve what it needs to accomplish, peripherals have little value. And it will not survive.
Let's look at this principle from the insurance point of view. The race to the cloud started just a few years ago while the insurance industry was still in the legacy transformation. Cloud shifts have been raised to the boardroom with an expectation of showing meaningful progress in fulfilling the board's mandate to manage business risks and competitiveness. Clouds can be a differentiator but only if it is more than just a host or an infrastructure. It must be placed as SaaS (Software as a Service) with underlying software components unarchitectured to take advantage of SaaS. Just lifting and moving can provide some short-term flexibility and cost benefits, but it does not make a long-term and sustainable difference in today's faster competitive business environment. Insurers have longed for several years to paste a better shape on top of their function. This is what traditional portals have been. Carriers now want to offer differentiated customer experiences to better compete in the market. As a result, insurers have faced a huge hurdle. Older or even modern, local core systems can not provide a real-time experience. What is needed is digital functionality. Digital experiences must be "cloud-enabled" to take advantage of valuable cloud-based and micro-services to bring the feature up to the level of the form.
Insurance works as a service, be that core, data, distribution or digital must be well integrated and architectured for the cloud environment, otherwise it can not provide business differentiation.
That's why Majesco and Microsoft® offer a tightly integrated and jointly supported secure and scalable digital insurance platform that is architectural for Azure. Majesco CloudInsurer® integrated with Microsoft Azure and its insurance's vertical features is like an insurance dream team ̵
What kind of differences can operators find in the Majesco / Microsoft SaaS solution?
Let's take a tour. To reveal some of the major differences between what Majesco and Microsoft together provide within Majesco CloudInsurer®, I invited Jonathan Silverman, Head of Insurance Industry Solutions for the United States – Financial Services at Microsoft, and Manish Shah, President and Product Manager at Majesco, to give us some insights. First, we ask Manish why Majesco chose Microsoft, as opposed to other potential clouds.
Microsoft's Insurance Vertical Focus
"At the beginning of the interest in the cloud, not many people thought it would take off in such a risk-averse industry. Data security and control were major inhibitors. Majesco always saw the cloud as a platform for SaaS solutions, which is a completely different paradigm shift in how it can provide business value. We never saw the cloud as outsourcing of infrastructure or as a managed service. We saw clouds as a very integrated and intertwined component. In all application architectures that would shape the future of digital insurance, we began to move our application architecture to prepare for the cloud age. "
An architectural shift is not trivial. Majesco needed to adopt new principles of micro-service design combined with the latest cloud-based technologies while ensured focus on domain-rich functionality. "Digital insurance is about utilizing newer business services you, use ecosystems, try to get new technology for the solutions and keep these services and technologies tightly integrated and upgraded as a SaaS solution that can be constantly developed, the scale can be protected.  “We discovered that Microsoft also moved its business model and placed large investments on the cloud. Their investment in cloud infrastructure and security combined with their vertical focus, especially financial services, struck a chord with us. Microsoft values its partners and helps with application architecture, scalability and security which were very important to us when we underwent a transformation of our application architecture. "
" Microsoft is always looking for ways to create industry value with our potential technology. For example, how can insurers use AI, machine learning, and data to provide a differentiated customer experience, identify fraudulent scenarios, improve risk modeling, analyze the productivity of agencies and agents, and create models for agencies that would be more profitable? We wanted to know how we can help insurers to use data to improve their insurance capacity, not within the system but within the process and also how we could reduce operator costs while speeding up the process. Microsoft Azure's capabilities were created to enable technologies such as Majescos.
Promise of Success – Finding the Real Definition of Software as a Service
For software to become "Software as a Service", it must provide more than software. The industry definition of SaaS leaves the real promise of its value bill. In a collaborative environment, such as Majesco & # 39; s with Microsoft, Majesco regains its legitimate definition of Software PLUS as a range of ecosystem tools and services that insurers find essential.
Two examples stand out: software updates and security.
“In software as a service, you provide your customers with a solution that is constantly updated and regularly improved. You can look at the change in experience through what Microsoft has done – all software is now offered as a service. You never see updates; You only see new functionality. This is unique to what Majesco does. Carriers receive updates with new functionality and differentiation that is completely invisible to the user. Updates are made without interruption. Everything Majesco does today becomes seamless.
This helps especially in a day and age where multiple partnerships tend to complicate traditional systems management.
“We keep things up to date and secure and ensure that we protect our partners, our customers and their customers. Because we have these partnerships, we can create significant value that transcends the business value chain, as everyone maintains that real-time update and handles it on behalf of the customer so that they can focus on their core insurance business.
“It's part of the real benefit of software as a service. You take your technical commitment and give it to someone else so you can focus on your business and your customers.
“When you take a solution like Majesco CloudInsurer and implement it in Azure, you take advantage of endpoint security and all the security that Microsoft has developed within Azure specifically for financial services. It gives customers real comfort because everything is locked in the same environment. Even if you retrieve data from other sources, it comes through a secure tube. "
" All of these features, plus the availability of our integrated support teams, differentiate the relationship. from a simple host on the cloud platform. We are actually working together to build an industry-focused solution to address the real pain points in the industry, just as Jonathan described.
Business Case – Simplicity in Pricing and Use
Of course, none of the features and security make sense if the pricing does not match the types of conversions that insurers make when testing the waters with digital business models. Creating new business models and new product strategies requires value-based, scalable pricing.
"We have removed the fixed investment that an operator normally invests in both licenses and infrastructure and we" have replaced it with use-based pricing. This will give insurers the opportunity to increase things without starting with a higher fixed cost. When they increase their business, they can manage their costs. From a customer perspective, they get a SaaS solution that is linked to their direct written premium that can be managed as an operating cost in relation to their revenue instead of requiring large investments in advance. ””
Jonathan was also able to comment on cost savings through experience using Azure.
“There is a potential for large savings from an infrastructure perspective. We see savings of up to 65%, but it depends on timing and the total need. For example, let's say you were just updating your hardware. Instead of updating your hardware, if you choose to use a cloud-based solution, you would see greater savings, but you would still need to monitor how you use the solution to get the most out of your investment.
Traditionally, the business is also interested in how a new solution will fit within existing constraints, as integration has its own share of costs and obstacles. Manish explained how Majesco has made integration easier by using the Azure infrastructure.
“Every customer has an ecosystem of platforms on their side. Majesco CloudInsurer fits into that ecosystem. Our SaaS components are well integrated, but they still need to be integrated with other systems that may or may not run on the cloud. This is where we once again use an Azure API gateway. By including the values from the Azure infrastructure, we split our applications into thousands of OAS 3.0 compliant APIs, and we expose these APIs through the Azure API gateway so that customers can organize and control API usage for efficient integration.
This flexibility is one of the main reasons why Majesco CloudInsurer is a tool for future-proof insurance. Its speed in the market fits with the need to change gears and increase profits while improving digital knowledge.
"When we look at Majesco and its plans for the future, there is a great adaptation to Microsoft from a technology perspective. Majesco uses technology to enable many insurance scenarios. It uses its experience and differentiates its solutions, integrates them into Azure and leverages security technologies, data, computer science, cognitive services and everything else Microsoft has available to enable differentiation. ”
“ With Majesco CloudInsurer as an integration between Majesco software and Azure features, we have reached our vision of how Majesco and Microsoft can work together to bring customer-focused features together and help insurers to implement winning strategies. SaaS is now more than a technology, it is a way of doing business to seize new opportunities, improve the customer experience and achieve new profitability levels through cost optimization and data insights. It was always the vision and now we see how powerful a solution it really is.
I want to thank Jonathan and Manish for giving us the background to how Majesco and Microsoft together create a dynamic Majesco CloudInsurer experience – a well thought out and well-designed approach that has provided so many insurance barriers to entry and is ready for the future of insurance . To learn more, check out our resource hub and sign up here for our upcoming webinar with Jonathan and Ravi Krishnan, SVP & CTO for product improvement on June 24, 2021 at. Eastern.