Insurers have been leveraging Third Party Administration (TPA) providers to service the complete Life and Annuities ( L&A) insurance value chain. TPA providers have traditionally managed policy administration of the run-off blocks that were discontinued by insurers and offloaded to such providers to cut down on capital costs. Today, TPAs manage processes such as claims processing, premium collection, intermediary management, and regulatory support, in addition to policy servicing and reporting. In fact, the insurer-TPA relationship has evolved substantially.

In this report, we look at a modern TPA engagement model, which provides value above and beyond existing process coverage. Forward-looking TPA relationships extensively harness internal and external data and have cutting-edge technology solutions with talented personnel at their core to deliver desired capabilities. Modern TPAs are valuable partners for insurers to deliver on demands from millennial customers.

Scope

Industry: L&A insurance, life insurance, annuities, retirement, pension

Geography: global

Service: L&A insurance TPA

Contents

In this study, we:

• Describe the traditional insurer-TPA partnership model and discuss the shift in TPAs’ leverage across products and processes
• Understand the evolving TPA engagement model and the attributes of a transformative TPA partner
• Analyze a forward-looking TPA-insurer partnership through a case study
• Identify demand themes across different product segments
• Deep dive into all product lines within L&A insurance to discuss how insurers are leveraging TPAs for each product segment

Membership(s)

Insurance Business Process

Sourcing and Vendor Management