"The policies on the books could have been there for up to 75 years and the policies going on today could be on there for another 75. That creates, in effect, a 150-year policy problem."
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Insights from 100+ insurance executives on policy administration system (PAS) modernization, data readiness, digital transformation, and the strategies driving growth in the year ahead.
What you'll learn #
- Where most carriers stand on PAS modernization and why 50%+ are still mid-journey
- Why 93% of insurance executives say their data is not fully ready for artificial intelligence (AI), and what to do about it
- The biggest challenges in planning a modernization project, from scope management to organizational change
- Which operational areas insurers are prioritizing for AI integration (customer service, underwriting, new business)
- How cloud adoption really works and why lift and shift can cost more than staying on-premise
- The difference between true SaaS and fake SaaS and why it matters for your vendor decisions
- How event-driven architecture helps insurers manage technical debt and decouple legacy systems
- Where AI, machine learning, and large language models (LLMs) are heading in the next 3 to 5 years for insurance operations
| What 100+ insurance executives said |
|---|
| 50%+ of carriers are in progress on PAS modernization or building their business case |
| 62% are experimenting with AI but not fully data-ready |
| 31% are actively working to improve data readiness before any AI implementation |
| 33% identify infrastructure as the primary AI readiness challenge |
| 33% say customer service is the #1 operational area for AI integration |
| 50% say unclear processes and methodologies are the biggest challenge in modernization planning |
How do you measure up? #
Over the past year, Equisoft hosted 12 Accelerate webinars featuring more than 40 experts from Celent analysts and LIMRA/LOMA leaders to top insurance executives. Through live polls and panel discussions, we captured a real-time snapshot of where insurers stand on their most pressing priorities.
This session brings it all together. Drawing on survey data gathered across every webinar, host Marc Blanchard synthesizes the common threads, the unexpected results, and the actionable insights that will shape insurer strategy through 2025 and beyond.
The Big Themes Shaping Insurance in 2025 #
1. PAS modernization: Still in progress... and for good reason #
Survey results show the top two responses from carrier executives: project in progress, and building a case for a go/no-go decision. Celent analyst Karen Monks explains why this aligns with her research, and why the industry's 150-year policy problem makes modernization a decades-long journey, not a quick fix. Greenfield strategies, cloud-native deployments, and the componentization of policy admin systems are emerging as the most pragmatic paths forward.
2. AI readiness: Experimenting, but not all are ready
62% of respondents say they are not fully ready for AI but are actively experimenting. 31% are not ready at all. John Hancock’s Kartik Sakthivel explains why: most carriers have historically treated data as a byproduct of operations, not as a strategic asset. Before AI can deliver value, that data needs to be mastered, curated, and cleaned; a journey most carriers are still on.
3. Data transformation: The real complexity #
UCT's Larry Commerford walks through why data migration is never as simple as moving it from one system to another. Undocumented interfaces, calculated values that only exist in code, 30- to 40-year-old systems written in retired languages, retired subject matter experts, and vendor conflicts all contribute to a challenge that requires specialized expertise, iterative methodology, and the right tooling.
4. Cloud adoption: Know what you're getting into #
Equisoft's Ghassan Karam cuts through the hype: cloud is no longer optional, but it's not automatically cheaper. The danger of lift-and-shift migrations, the difference between true SaaS and fake SaaS, and the importance of cloud-native optimization are critical considerations for any carrier evaluating infrastructure decisions.
5. AI in practice: Where are carriers focusing?
33% of surveyed executives identify customer service as their primary AI focus, driven by call center efficiency, customer experience improvements, and the urgency to reduce agent attrition. Underwriting follows closely, with machine learning poised to compress underwriting timelines and enable the kind of fast, consumer-grade experience Gen Z expects.
6. The road ahead: Prescriptive analytics, LLMs, and hyper-personalization #
Looking forward, Ghassan Karam and Zineb Jazouli map out the evolution from descriptive to predictive to prescriptive analytics and explain why large language models will be central to omnichannel insurance experiences, guided applications, and automated policy servicing within the next five years.
About our Equisoft experts #
Marc Blanchard — Business Innovation Specialist #
Marc hosts the Equisoft Accelerate Webinar Series and brings extensive experience advising top-tier executives across industries on technology modernization and business innovation. He synthesizes insights from across the full series to surface themes and recommendations relevant to insurance leaders.
Amit Sharma — AVP, Global PMO #
Amit specializes in insurance core system implementation and has led numerous PAS modernization projects. He brings practical perspectives on scope management, organizational change, and the common pitfalls that derail even well-resourced transformation programs.
Ghassan Karam — AVP, Core Insurance Solutions #
Ghassan leads strategy and product development for three key solutions: Equisoft/manage (PAS on the cloud), back-office productivity tools for insurers, and advanced analytics & AI solutions. His vision is to bridge the insurance industry with cutting-edge technology, driving efficiency and agility in an evolving market.
Zineb Jazouli — AVP, Digital Insurance #
Zineb focuses on the intersection of AI, analytics, and customer experience in insurance. She maps the trajectory from predictive to prescriptive analytics and explains how large language models will reshape omnichannel interactions, guided applications, and policy servicing in the years ahead.
Discover more insights on insurance modernization #
Explore our curated resources to continue your journey on PAS modernization, data transformation, AI readiness, and the technology powering the next generation of insurance carriers.
- Webinar: How Advanced PAS & Insurance Tech Optimize Customer Experience — See how leading carriers are using modern PAS and connected technologies to close the CX gap.
- Knowledge Hub: PAS Modernization — Actionable advice and expert perspectives for every stage of your policy administration system transformation.
- Knowledge Hub: Data Management — Everything insurers need to know about data migration, transformation, and integration in the life insurance industry.
- Service: Data Migration & Conversion — Proven methodology, specialized expertise, and purpose-built tools to migrate your most complex legacy data safely and on schedule.