‘The insurance industry is at a pivotal point where modernisation is no longer optional, but essential,’ says chief executive
Some 65% of UK and Irish insurers have already begun the process of modernising their core system infrastructure.
This was according to data from insurance software platform Adacta’s legacy modernisation market survey, released today (28 April 2025), which also revealed that the remaining 35% had plans to do so within the next year.
Policy administration systems emerged as a major focus for modernisation, being cited as a key priority by 95% of respondents based in the British Isles.
Claims systems were likewise revealed as a focus of attention, with 90% of UK and Irish surveyees identifying it as a key priority.
Barriers to entry
The survey collated data from 110 insurance industry professionals across Europe between December 2024 and January 2025, with 18.2% of respondents being based in the UK or Ireland.
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Despite the high reported rate of modernisation, concerns remained over possible roadblocks in implementing upgrades.
“Complexity of data migration” was cited as a barrier to entry by 60% of respondents, “potential disruption to ongoing operations” by 50% and “concerns about implementation risks” by 45%.
Alexey Tikhonov, chief executive at Adacta, commented: “The insurance industry is at a pivotal point where modernisation is no longer optional, but essential. Our survey highlights the pressing need for insurers to evolve their core systems to remain competitive and compliant in a rapidly changing environment.”
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