This is the second blog in a series on our Fall ’22 Release. Over the next few months, we will continue to spotlight how Majesco is helping insurers achieve relentless innovation and meet the ever-changing market needs with an outside in approach.
In the early days of the cloud, organizations were reluctant to adopt cloud strategies, however the last several years have shown proven efficiencies of cloud deployments through economy of scale. TPA and BPO business models mandate very high operating efficiencies to support razor sharp margins in very competitive space. While standardized processes and automation are important factors, multi-tenant SaaS platforms can significantly reduce run-costs of enterprise platforms for supporting business processes. Multi-tenant core processing platform for TPAs, BPOs or even multi-carrier insurance companies can help reduce operating costs through common instance for processes business across multiple carriers.
Winning with Economy of Scale
In our Fall ’22 Release, we introduced Majesco’s Multi-Tenant L&AH Core Suite for Third Party Administrators and other businesses that process across multiple carriers, an innovative new SaaS solution that supports more than one legally separate insurance carrier on the same instance. We have now enhanced this platform to support Policy, Billing and Claims administration across multiple carriers/legal companies.
TPAs have higher fixed-time costs for onboarding each customer as they need to procure additional infrastructure and software licenses that often pose a barrier to entry and/or expansion. Multi-tenant platforms are designed to help customers grow without incurring steep onboarding costs for new customers.
This platform enables TPAs to efficiently process business of multiple carriers on a single instance. It is architected to scale on a cloud infrastructure with enhanced data security that ensures reliable data separation across multiple insurance carriers. This approach drastically reduces run costs such as upgrades, technology upkeep, security adherence, compliance and more which in turn reduces unit costs of processing a business transaction.
Jeff Bezos has famously said, “Your margin is my opportunity,” implying that Amazon delivered better prices by reducing costs. This same strategy can benefit TPAs and BPO providers if they can reduce cost of business transactions by eliminating costs associated to separate instances.
Majesco L&AH Core Suite is our domain-rich, market-leading, platform that can process various insurance products to support the needs of modern insurers. This innovation which enables business cost reductions through multi-tenancy support should be checked out by every TPA, BPO or multi-carrier insurer.
Do you have any additional thoughts or questions on this topic? Drop a comment or reach out to our product teams.