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Insurers need to be aware of benefits to cloud computing, says expert

Rachel Wheeler Archive
Insurance companies looking to implement cloud computing strategies have been advised to fully prepare themselves before introducing the technology.

Writing for the Insurance and Technology website, Juergen Weiss, a research analyst from Gartner, warns organizations that they should not underestimate the work that needs to be done for cloud-based services to be successful.

He adds that many insurance companies do not posses a dedicated cloud computing strategy and some rarely use the concept at all.

However, the expert is quick to point out that utilizing the technology can be very beneficial for insurers, with it providing better economies of scale and more efficiency and flexibility.

"One of the common myths about cloud computing is that it's easy and that you don't have to invest any work to move infrastructure applications or business processes into the cloud," Mr Weiss notes.

Furthermore, he recommends that insurance companies simplify and consolidate their existing IT structure to ensure that the changeover is as smooth as possible.

An article by Hotel News Now recently highlighted the benefits that the service can have for hotel owners.

Posted by Richard Jones