Abstract

This IDC Taxonomy discusses how the insurance industry's digital mission of contextual and value-centric insurance is driven by the change in customers' and partners' expectations, technology innovations, regulatory demands, and sociopolitical and economic disruptions. The taxonomy defines four strategic priorities to accomplish the digital mission, namely omni-experience engagement, usage- and value-oriented offerings, frictionless insurance, and cognitive competency building. It also defines separate programs or initiatives that support each strategic priority. Under each program are a set of use cases, which are discretely funded efforts supporting a program objective.

"The COVID-19 pandemic has dramatically stressed the need for insurers to digitally transform their business models," said Patrick Van Brussel, research director, IDC Financial Insights. "Insurers that have developed and implemented an enterprisewide strategy designed to adapt to business disruptions and to capitalize on the changed conditions will thrive in the coming years. Digital resiliency is the indispensable condition of success for the whole industry, and now is the time to boldly move forward."

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