Experts have found that life insurance companies are putting more money into information technology upgrades to remain competitive, according to Resource Magazine. These investments are aimed to improve core policy systems through modernization.
This spending increase of 4 to 7 percent will not bring financial figures back up to pre-recession numbers, but experts see it as a positive sign of recovery. Life insurance companies are also investing in business intelligence tools and mobile technologies, according to the magazine.
"Additionally, insurers are increasing discretionary investments to include new initiatives and emerging technologies," Deb Smallwood, founder of Strategry Meets Action, told the news source. "This would include initiatives such as social media, predictive analytics and mobility."
As technology continues to evolve, companies must account for the fact that their IT staff will have to as well, the magazine reports. A growing number of businesses are joining The American Society for Training and Development's Professional Partner program, which is designed to increase training professionals' awareness of the resources that are available to them.
When legacy systems and infrastructure programs are updated to allow insurers to leverage all of their data, they will be able to provide knowledge of emerging market trends. The IT staff is going to have to know how to create, use and process these systems and the information they produce.