Applied Systems Reveals 2021 Digital Technology Adoption Survey Results Amongst UK Insurance Brokers
14 December 2021
Annual independent broker survey reports adoption of digital technology on the rise year over year
Brighton, UK – 14 December 2021 – Applied Systems today announced the findings of its annual Applied Digital Broker Survey, providing an industry-wide benchmark for brokers to measure their digital technology adoption and progression towards digital transformation. The 2021 Applied Digital Broker survey results indicate that brokers creating and following digital strategies are increasing, along with adoption of customer service technologies and cloud as the industry pivots to new operating and servicing tactics following the pandemic.
The survey questions examined five core competencies of a digital broker, including management system capabilities, mobility, customer self-service, data analytics and cloud software. Brokers scoring 80% or higher across all core competencies were considered to be digital brokers, having adopted most of the key drivers of digital transformation.
Key survey findings include:
- Digital strategies: Results indicate 66% of brokers across all surveyed geographies have a digital strategy in place. Of these, 86% of brokers who responded to the survey plan to implement their digital strategies within 1 to 5 years.
- Foundational management system: With nearly a 100% adoption, broker management systems are one of the most used pieces of technology in the insurance industry, confirming that it is the foundation of business operations and indispensable for day-to-day operations.
- Customer self-service: The adoption of client portals increased from 35% to 38%, with a 9% increase year over year. More brokers are offering mobile apps to their customers, their adoption rate has increased 18% year on year. Thirty-seven percent of all brokers offer their policyholders the option to submit applications electronically through a customer portal.
- Analytics: 30% of all brokers in the geographies surveyed are using data analytics to gain business insights from their management systems. Data analytics adoption is slow but steady.
- Cloud: Up 9% year over year, 81% of brokerages choose to host their software in the cloud, and it continues to be the top choice among agencies for software hosting. Hosting in the cloud is more secure than ever and makes working remotely easier for independent insurance brokers.
“The pandemic made evident that the U.K broker market needed to adopt modern technology to enable digital customer service and remote business models,” said Dave Chapman, chief revenue officer, Applied Systems Europe. “This year’s report shows that brokers see this need to support their staff and customers in new, digital ways. As our industry transforms, Applied is committed to delivering simple, innovative technology for brokers to foster success both today and well into the future.”
View the full report here.
1,819 independent brokers across the UK, Ireland, U.S., and Canada participated in the 6th Annual Applied Digital Broker Survey, from which the results of this report were generated. Respondents voluntarily participated in an online survey conducted in Q1 2021. The findings are based on responses to a set of questions about brokerage technology use. The responses provided the data to calculate a digital score for each brokerage taking the survey and identified baselines for technology adoption.
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About Applied Systems
Applied Systems is the leading global provider of cloud-based software that powers the business of insurance. Recognized as a pioneer in insurance automation and the innovation leader, Applied is the world’s largest provider of agency and brokerage management systems, serving customers throughout the United States, Canada, the Republic of Ireland, and the United Kingdom. By automating the insurance lifecycle, Applied’s people and products enable millions of people around the world to safeguard and protect what matters most.