Defined Contribution Plan Providers Investing in Digital Experiences and Analytics
Insurers offering retirement plans are focused on driving down costs and attracting new clients, all while retaining existing clients and assets: Novarica
Boston, MA (Aug. 18, 2020) – Defined contribution plan providers continue to make technology investments across the value chain in response to regulatory changes, expanded competition, and the ongoing pressure related to margins. In a new Business and Technology Trends report, Business and Technology Trends: Defined Contribution Retirement Plans, research and advisory firm Novarica provides an overview of defined contribution retirement plan provider business and technology issues, data about the marketplace, and several examples of recent technology investments by insurers offering defined contribution retirement plans.
“Plan providers must satisfy three constituencies,” said Nancy Casbarro, Vice President of Research and Consulting and co-author of Novarica’s new report. “The brokers and consultants that help firms select defined contribution plans, plan sponsors, and plan participants. Brokers and consultants seek analytics-driven insights. Plan sponsors seek to ensure financial wellness for their employees. And plan participants expect the self-service and user experience they’ve received from other industries, like retail, investment banking firms, and airlines.”
Among the key findings of the reports are:
- Most technology investment goes toward case installation and distribution. Onboarding requires investments in digital capabilities, data and analytics, and core systems. Insurers are focusing on customer engagement.
- Portal initiatives and communications continue to be vital. A focus on participant financial wellness across the board requires effective communications, reporting, and analytics. Plan sponsors are prioritizing improvements to participant contact center service and educational offerings.
- Regulatory changes will continue to impact the market. Recent regulations have promoted the use of annuities in retirement plans and easing the formation of multi-employer and pooled employer plans.
Click here for the table of contents or to access the report.
Report Summary
Defined contribution plan providers are investing in portals for plan participants, sponsors, and advisors, as well as turning operational data into actionable information with analytics and reporting, in order to drive down costs and attract new clients, while retaining existing clients and assets. Plan providers are focused on driving down costs and attracting new clients, all while retaining existing clients and assets through improved insights and investment performance.
This report provides an overview of defined contribution retirement plan provider business and technology issues, data about the marketplace, and several examples of recent technology investments by insurers offering defined contribution retirement plans.
Topics:
- Recent market and financial trends
- Active insurer landscape
- Technology issues, priorities, and examples by functional area
- Top technology priorities for 2020 and beyond
Click here for the table of contents or to access the report.
About Novarica
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through retained advisory services, published research, and strategy consulting. Its knowledge base covers trends, benchmarks, best practices, case studies, and vendor solutions. Leveraging the expertise of its senior team and more than 300 CIO Research Council members, Novarica provides clients with the ability to make faster, better, more informed decisions. Its consulting services focus on vendor selection, custom benchmarking, project checkpoints, and IT strategy. For more information, visit www.novarica.com.
Source: Novarica
Tags: analytics, customer experience (CX), Novarica, retirement planning & savings, trends Read the original article at Insurance-Canada.ca