March 31, 2023
People have a misconception that no-code solutions are just for building interfaces, but in reality, they’re so much more. In the realm of insurance, the easy no-code solution covers intake, but the quality no-code solution tackles the complex areas of insurance – rating, issuance, and endorsements.
No-code is a concept that enables users to create applications without having to write a single line of code. In its purest form, no-code provides tools and features to build an application without the need for coding. This is possible through the use of pre-built blocks of code and features that can be easily combined and customized. In addition, APIs are a key component for more complex no-code solutions, as APIs allow different computer programs to communicate with each other.
How Does No-Code Work? What Does No-Code Mean for Insurance?
No-code solutions make it quick and easy for users to create complex applications using premade templates. This allows users to add features – such as payment systems – to their app with ease and allows application customization without having to touch the underlying code.
What Does No-Code Mean for Insurance?
No-code is one of the key ways insurers can accelerate their digitization projects and adopt needed tech advancements. For new companies, no-code makes it easy to actually get ahead of existing, established insurers. As a result, insurers are freed from managing basic functions of insurance, freeing them up to work on more strategic initiatives. In addition, no-code solutions can help reduce the need for extensive (and expensive) IT projects, allowing insurers to move forward more quickly.
What: The global pandemic has highlighted the need for companies to invest in operational resilience. Low-code and no-code tools can help firms achieve this goal faster and with less cost, enabling businesses to build applications quickly and efficiently. These visual programming tools don’t require coding, and can be used to create innovative products and services in a fraction of the time it would take using traditional IT departments.
Why it matters: Low- and no-code tools can help businesses get new products to market faster, reducing the 12-18 month timeline that is typical in the insurance industry. This can help companies save millions of dollars in operational expenses, while also increasing their competitive edge. Additionally, these tools allow business users to manage the entire product lifecycle with greater autonomy, leading to more efficient processes and better user experiences.
Read: How Insurers Can Build Operational Resilience With Low-Code Application Programs
What: Shadow IT has become an unavoidable part of many organizations, as departments create and maintain their own applications without the knowledge or engagement of the IT department. While these applications can increase IT and security risks, they are also essential for the business to stay competitive. Low-code and no-code development tools have enabled many non-technical departments to create and maintain their own applications, and organizations should balance the risks and rewards to capture the full potential for digital value creation and capabilities.
Why it matters: The most prominent examples of shadow IT are file-sharing applications like Dropbox and Box, which solved the problem of simplifying large file sharing without needing to be integrated into core systems. However, as AI technology matures, it is likely to be used more widely, and integrated into core systems, unlocking new capabilities to improve productivity. Organizations must manage the risks of shadow IT while leveraging its potential benefits to stay ahead of the competition.
Read: Low-code/no-code: A way to transform shadow IT into a next-gen technology asset | McKinsey & Company
What: There’s a growing shortage of developers in most industries, and insurance is feeling that shortage more than most. No-code solutions reduce the need for developers and can dramatically reduce the amount of time it takes to get a new product to market.
Why it matters: Currently, it typically takes between 12-18 months to launch a new product, and 3-6 months to update an existing one. The demand for highly skilled software developers continues to grow. IDC, a leading market intelligence firm, predicts a shortfall of four million developers by 2025. In this scenario, no-code solutions may be the only way to get products to market quickly.
Read: Impact of the Low/No-Code Platforms on the Insurance Sector
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