Digital Experiences Are Being Built On No-Code Platform Blocks

Insurers globally are on a quest to deliver exceptional digital customer experiences. But, when it comes to modernizing product development, they report lackadaisical progress. Burdened by constraints of archaic technology architectures, carriers often resist adopting new technologies because of the vagaries of legacy applications. Furthermore, associated costs and duration to develop in-house solutions can be humongous and unenticing.

One technology panacea to this malaise, No-Code product development, is on the rise. No-Code development enables laymen to create insurance products and customer experiences through drag-and-drop interfaces. Employing visual models to substitute coding complexity, users create products and experiences rapidly and at much lower costs without skilled technical staff.

Gartner forecasts that no-code and low-code application platforms (NCAP/LCAP) will account for 65 percent of all application development by 2024. This implies the majority of apps created in 2024 will be developed using tools that provide business friendly ways to program.

Interestingly, Forrester notes that no code / low code has the potential to make software building as much as 10 times faster than traditional methods. They note that these platforms help advance digital business in three major ways: a) greatly decrease time needed to meet business requirements b)harness shadow IT and c) play a key role in automating operational processes.”

No code / low code has been around a while – wasn’t Microsoft Excel the first choice of a low-code tool? Myriads of “spreadsheet applications” developed by finance and actuarial teams, other core applications of reinsurance, specialty policy administration and loss control were legion. Today, NCAP market is in focus owing to its robust use cases and strength in accelerating digital innovation. The use of NCAP / LCAP allows knowledge workers, several times in size to technical workers, to create digital applications while speeding transformation.

In just a few weeks, Hiscox‘s existing direct-to-consumer car product was launched in Germany and Austria using Instanda’s no-code platform. The second product with more channels was built in lesser time, allowing real-time price adjustment and continuous feeds to customer experience improvements. The no-code model has enabled Hiscox to create its ‘agile product factory’; a team of in-house configurators, who are adding more books, building new products and rapidly creating digital experiences.

A Novarica snap poll of insurers found that 50% were using or piloting a low-code platform in their digitization journeys. By 2025, they predict that 80% of custom development will involve low code / no code technology.

Insurance Digital Platforms (IDP) provide capabilities of LCAP/NCAP alongside insurance-specific pre-built blueprints and workflows. They feature digital ecosystems of plug-and-play partner capabilities with pre-built integrations via APIs and integration hub to third-party vendors. NCAP weaves multi-modal input solicitation (combining textual, imagery, video, document and live feeds) with contextual targeting (using geolocation, time stamping, device recognition) and processes (via rules, workflows and automation) to automate decisions and make supply chains frictionless.

In September 2020, Chubb launched Chubb Studio, an IDP platform to distribute products through partners’ digital channels globally. The Studio provides digital access to Chubb’s personal and small business insurance products. Chubb indicated this provides speed to market for partners through a scalable platform with multiple APIs that simplifies the process. The Studio is set to accelerate Chubb’s ability to expand and support distribution partnerships across industries, helping them deliver a unique digitized customer experience and value.

It might seem that high volume, simple activities or operational workflows in non-specialized insurance are ideal beneficiaries of such platforms. However, there is growing evidence that more sophisticated use cases such as complex claims with huge rule sets that make implementation expensive and slow are also ideal for no-code environments. On the other hand, those that involve high degrees of computational intensity are unlikely to be fulfilled merely with No Code systems.

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