TRANSFORMING INSURANCE OPERATIONS WITH OUTSOURCED BPS: WHAT YOU NEED TO KNOW
Apr 24, 2025
HIGHER REVENUES WITH LOWER COSTS: THE NO.1 CHALLENGE FOR INSURANCE LEADERS
Insurance companies around the world are facing unprecedented levels of change. Complex geopolitical, social, economic and climate factors are demanding exceptional leadership skills. In this environment, delivering revenue growth whilst reducing operational costs is critical to ensure business health and longevity .
It’s the goal almost everyone in the insurance industry wants to reach. In fact, when creating our exclusive research in partnership with Nelson Hall – based on interviews with 101 leading insurance executives from the US, UK, Germany and Switzerland – almost every global insurance leader we polled told us achieving revenue growth is their top priority for 2025.
If insurance companies are to achieve these goals and obtain a competitive edge in their key markets, then they need to find ways of increasing their speed of operational transformation.
What is operational transformation? Quite simply, it is changing the way we work, to deliver better outcomes for everyone.
Market Research
Transforming Insurance with BPS
a Nelson Hall Report
Key challenges and benefits achieved from implementing Outsourced Bussiness Process Services
THE CHALLENGE
Insurance companies are being inhibited from transforming operations in a timely manner, not only by the speed of technology change, but by a lack of resources. It's not just about not having enough technical skills but about maintaining your legacy operations while improving them.
Insurers report challenges in transforming their operations due to gaps in customer data, fragmentation, and inconsistencies. They also face inefficient workflows in maintaining customer data, a lack of standardized processes, and limited automation of these processes.
WHY OUTSOURCED BPS?
Outsourcing Business Process Services (BPS) can be key to solving the challenge of delivering more with less, and creating positive, sustainable, long-term operational transformation. Key roles that outsourced BPS services can play in assisting in operational transformation include:
- Enabling innovation by freeing internal resources from operational tasks and speeding up the adoption of new business models.
- Enhancing operational flexibility through scalable service models.
- Improving data governance and the accuracy of customer master data.
- Improving customer experience through business efficiency.
BUSINESS PROCESS OUTSOURCING FOR INSURANCE IN PRACTICE
Key Investment Areas for Insurers in BPS
Working with the right BPS partner empowers insurers to become digital-first, AI-enabled and highly adaptive enterprises.
- By improving customer experience: enhancing the speed of customer facing processes like claims and onboarding, with digital document management and omni-channel customer communication.
- By enhancing claims processing efficiency: automating insurance processes, resulting in faster processing times while simultaneously improving regulatory compliance by using machine learning.
- By saving operational costs, digitizing internal business processes and achieving higher profit margins with Robotic Process Automation (RPA) and GenAI tools for insurance industries, reducing the need for office resources.
SCALE YOUR BUSINESS
Over 250 banks and Insurance companies trust SPS to drive their digital transformation. Renowned for its innovative mindset, SPS already integrates generative AI into industrialized processes to boost quality and reduce costs.
SPS’s client-centric approach—rooted in its values of Clients First, Delivering Excellence, and Innovative Thinking—has led to a solid 95% contract renewal rate among our clients.
Get in touch and discover the Power of Possibility.
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