Aging legacy systems continue to be a top-of-mind concern for the insurance industry, according to a survey conducted by SAP at the IASA conference earlier this month.

SAP spoke with over 200 insurance executives and found 54 percent of insurers believe the best practice for managing core systems modernization is to find a trusted partner with an integrated solution platform. This was in contrast to 23 percent of the respondents who would consider preserving as much of their legacy systems as possible and another 23 percent who would prefer replacing the legacy systems with an in-house build.

Sixty-seven percent of respondents report aging legacy systems are a prevailing hindrance for insurers. Even though insurers are unsure of how to approach a core systems upgrade, they generally recognize the major challenges that need to be addressed to effectively tackle the core system modernization.

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