Blog

A Three-Step Guide to Insurance Transformation | Dreamfactory

Written by Spencer Nguyen | January 20, 2022

The world of insurance has been one most heavily influenced by APIs and the API-first operating model. Today, insurance agencies can benefit from learning how the API-first operating model can enable your IT team to unlock data from legacy systems and more. Technology has left its imprint on the insurance industry, and now tools like APIs have created even more opportunities for success. With so much room for success, it is important to realizes the need for insurance transformation.

Insurance Companies Recognize the Need for Transformation 

The use of APIs in the insurance industry has led to companies finding benefits and advantages that offer a competitive edge and tools for better business. As a result of APIs being able to pull, organize, and present readily available and valuable data, many insurance processes have been improved, made more efficient, accurate, and simply better. 

These facts have also created more pressure for other insurance companies and agencies to keep up and respond. Additionally, insurance companies have also realized increased business, lower operating costs, and other practical operational advantages. Fortunately, DreamFactory can help insurance agencies with these often complex and large-scale insurance transformation processes. 

DreamFactory can also help insurance agencies, both large and small, to make the insurance transformation using a three-step plan. Here is an outline and a look at the steps needed for an insurance transformation from how things were into the world of the API-first operating model.

1. Evaluate Company Processes and Resources

One of the most significant and most valuable benefits of APIs in the insurance industry is connecting and acting as a bridge between vendors, services, clients, and other useful and necessary information. This bridge requires that your insurance transformation evaluate areas like the company's processes and resources.

Using that information will help guide the insurance transformation in the right direction. Primarily that means that DreamFactory partners will learn how new API-first operating models can enable your IT team to unlock data from its legacy systems. In terms of practical application, this will look like using APIs to bridge the connection between company resources and processes that require data and information.

2. User Considerations

The next step in the process of an insurance transformation is to evaluate and look at user considerations. Historically speaking, middleware developers worked off a database-first premise (e.g., REST systems). While this was an ideal concept when talking about processing information and data, it is also the same concept that created UX concerns, headaches, and problems.

A user-first approach enables developers to define solutions when creating more meaningful APIs to the final implementation and uses of these APIs. Leading firms like Gartner have stated that "...integrations work will count for 50% of the time and cost of building a digital platform."

This approach also means additional expenses, time, and problems if an insurance transformation results in APIs that need to be reworked, rebuilt, or added. This is also why DreamFactory encourages companies to reach out for help and to learn how the new API-first operating model can enable your IT team to unlock data from legacy systems. 

3. API Creation and Deployment for Insurance Transformation

After the needs of the insurance transformation have been determined, and following a thorough evaluation of the company resources and user interactions, it is time to create and implement your insurance transformation. Here is a basic outline of what that process typically looks like:

  • Plan and design specific APIs.
  • Developers create APIs according to plans.
  • Security protocols and safeguards added to APIs.
  • Documentation of APIs.
  • API testing and beta processes.
  • APIs version assignment (further and more detailed updates to APIs should always be expected).
  • Publishing and deploying APIs in the field.
  • Manage and evaluate API processes.
  • Scaling APIs when and where needed.
  • Making APIs discoverable.
  • Discontinuing preexisting APIs.

Although the process of information transformation can often seem daunting or may even demand an entire overhaul of methods, this is a situation where the effort is worth the reward. To learn more about these types of rewards, get in touch with DreamFactory, and find out how APIs can lead your insurance transformation. 

The Benefits of APIs in the Insurance Industry

Like any considerable undertaking, companies and users want to know that the benefits are worth the effort exerted to make an insurance transformation. Fortunately, this is a situation where the benefits are numerous and easy to see.

APIs offer insurance companies advantages in more than a few areas. These include benefits in areas like:

  • Faster information processing. Insurance agencies gain faster response times to market changes in addition to quick access to information.
  • Accessibility from a variety of devices. APIs make it possible for clients, agents, and others to access information and pertinent data from various devices.
  • Connections to other organizations and businesses. These connections are one more benefit offered via an insurance transformation. Insurance companies can use APIs to build and leverage relationships that can produce more business and drive deeper relationships with customers, adjusters, and other agencies. 

Getting Started with DreamFactory

These are some of the many benefits and reasons to undergo an insurance transformation and just a few ways that DreamFactory can help your insurance agency. Utilizing the power of APIs is key to helping you pursue successful insurance transformation. DreamFactory provides solutions to your API management and generation needs.

Start your free DreamFactory trial today to start your journey to successful insurance transformation.

Related Reading

How To Structure a Successful Digital Transformation Strategy