(Image source: Fortitude Re homepage.)
FGH Parent, L.P. (Hamilton, Bermuda) together with its subsidiaries, collectively known as Fortitude Re, has entered into a $450 million agreement with IBM (Armonk, N.Y.) to transform Fortitude Re’s life insurance policy servicing operations with the implementation of AI technology and other automation tools designed to deliver a best-in-class customer experience for policyholders and insurers, according to an IBM statement.
Sean Coyle, COO, Fortitude Re.
Fortitude Re selected IBM’s subsidiary, IBM Insurance Solutions, Inc. to leverage IBM’s global capabilities to provide insurance third-party administration (TPA) services on its behalf for over four million policyholders, IBM reports. IBM says will design and manage a custom, streamlined solution for administering life and annuity insurance policies that will help Fortitude Re bolster its third-party administration operations and further enhance its commitment to customer-centric service for policyholders and insurer clients, while helping to capture operational expense reductions.
Fortitude Re characterizes its collaboration with IBM as reinforcing its commitment to providing policy administration services as a valuable option in its reinsurance offerings, which the company says underscores its unique ability to provide holistic reinsurance solutions, inclusive of policy administration and related operational capabilities.
IBM says it will support Fortitude Re in delivering end-to-end process optimization of its insurance customer service operations, providing flexibility and scalability to capitalize on new business growth opportunities with an open ecosystem approach. IBM Consulting will lead these efforts, which will include AI for automation, hybrid cloud and main-frame-as-a service technology, the vendor reports.
“Combining Fortitude Re’s deep industry expertise with IBM’s technology leadership will enable us to deliver effective and efficient administration solutions as part of our bespoke solution design for our life & annuity customers,” comments Sean Coyle, COO, Fortitude Re. “By partnering with IBM, Fortitude Re will be able to leverage AI technology, automation, and the latest in advanced data analytics to help continue delivering a high-quality service experience for the millions of insurance customers we service, all while reducing operational risk, improving efficiencies, and increasing our analytic capabilities.”
Vijay Vijayasankar, Managing Partner Financial Services, IBM Consulting.
Enhancing Security and CX, while Pursuing Growth and Efficiency
“We are excited about our latest collaboration with Fortitude Re to provide third-party administration for insurance and annuity policies. The insurance industry continues to be an important focus for IBM with significant opportunity to apply our industry expertise and technologies to solve complex challenges facing insurers,” comments Vijay Vijayasankar, Managing Partner Financial Services, IBM Consulting. “We are committed to working hand-in-hand with Fortitude Re to enhance security and customer experience while also pursuing growth and efficiency.”