Indian insurance companies are expected to spend Rs 11,700 crore on IT products and services in 2014, a 5 per cent increase over 2013, according to a study by Gartner.
This forecast includes spending by insurers on internal IT (including personnel), hardware, software, external IT services and telecommunications.
Indian insurance companies are on pace to spend Rs 410 crore on mobile devices in 2014, up 35 per cent from 2013.
“Gartner research shows that most Indian insurance chief information officers view mobile enablement of applications and services as a very important component of their strategy to improve sales and channel effectiveness,” said Derry Finkeldey, research director at Gartner.
“This is especially important as insurers compete to reach agents and customers distributed across the country and outside of saturated urban markets,” Finkeldey added.