With No Code and Low Code Software, Anybody Can be an Insurtech

Kjartan Rist has spent the last 20 years working in the technology sector as a founder, advisor, board member, and investor. As a Founding Partner of Concentric, the London & Copenhagen-based venture capital firm, Rist works with early-stage tech businesses, including in the insurance space, to support their development and accelerate growth. Current insurtech investments include SuperScript and Insly.

Insurance was an old-fashioned and highly manual industry until insurtech emerged a few years ago. A flurry of startups entered the market, showing incumbents what is possible when you digitise operations, workflows, and customer experience. Since then, the rapid evolution of customer behaviour and expectations mean that digital is now the only option. For MGAs, underwriters and brokers, the pressure is on to innovate their capabilities, products, and user experience. And now, thanks to the rise of no code (NC) and low code (LC) software, they can do so without investing in costly development talent.

What are low code and no code software?

Until recently, any insurance company that wanted to digitise its operations would have two options; they could buy an off-the-shelf solution, or they could develop their own from scratch. But both options come with downsides. While off-the-shelf solutions are faster to implement, they won’t match the specific needs of the business, plus come with quite a high price tag and usually implementation fees on top. Meanwhile, a custom solution should fit the needs of the business perfectly, but will be even more expensive and time-consuming to build, requiring specialist developers.

LC and NC solutions provide a middle ground, by enabling business and non-technical users to create custom digital systems, with minimal (in the case of low code) or no (in the case of no code) technical knowledge required. Most offerings work via point-and-click, or drag-and-drop interfaces, or enable users to customize pre-built templates.Solutions are available across the whole spectrum of insurance activities, including product development, quote and bind, risk bordereau, premium accounting, claims - and beyond.

"As insurance businesses look to digitise their operations faster and more cost effectively, they are turning to low-code and no-code software to meet their needs. These solutions dramatically cut development time and reduce the need for technical skills, so anybody can be an innovator"

“Legacy IT solutions have failed in meeting insurers’ needs for quick product launch and flexible change implementation,” comments Risto Rosser, CEO of Insly, which provides NC and LC software. “Customers today expect a seamless online experience, and they will head to your competitors if they don’t get it. Now it’s possible for non-technical insurance organisations to keep up with insurtechs, without investing in expensive custom-build platforms.”

NC or LC?

NC software is particularly accessible, enabling any employee with product and customer knowledge to be trained to digitise workflows, with the potential to cut development time by as much as 90 per cent.LC software, on the other hand, requires some coding knowledge, and more oversight from IT, but is often even more customizable as a result. Both options integrate easily with existing systems, and are easy to update and maintain, including policy adjustments or cover changes.

What do NC and LC mean for the insurance industry?

LC and NC software are game changing for insurance, greatly reducing the barriers to innovation in a fast-moving market. Recent research predicts that LC and NC will make up 80 percent of insurance development by 2025, which will take digitisation up a gear and potentially mean that online experience becomes less of a differentiator between providers. Instead, we could see innovation swing back to other areas, including underwriting, product development, customer service, and branding. For insurers, it is all to play for.