超越TCO：解锁核心系统转型的真正回报

Beyond TCO: Unlocking theTrue Return of Core SystemTransformation by Octavian Popescu, Principal Value Consultant Introduction|Topic|Topic|Topic|Topic| For years, core systems have held their ground.They have beenextended, patched, stabilized, and often defended because theystill “worked.” But the environment around them has changed faster thanthey have: rising claims costs, mounting regulatory pressure,tighter margins, more demanding customers, and acceleratinginnovation cycles. What was once a stable backbone isincreasingly becoming a constraint. Today, the question is no longer whether core systems shouldbe modernized. The real question is how to make the rightmodernization decision. Rebuild from scratch, transform the existing system, or adopt amarket platform? Each option carries its own risks, trade-offs,and promises. Yet delaying the decision now has a real cost. This white paper does not promote a single path. Instead, itoffers a different lens, one that is still too rarely applied: viewingmodernization as what it truly is, a strategic investment whosesuccess should be measured not only by cost or functionality,but by the long-term value it creates. 1.Why Core Modernisation HasBecome Non-negotiable Insurance leaders no longer debate whether core system modernisation is necessary. That question is settled. Thereal question is when. And increasingly, the answer is no longer flexible. The time is now. Not because technology is evolving, but because the economic and competitive conditions ofthe insurance market are changing faster than legacy organisations can adapt. What was once a manageabletechnology gap is becoming a structural divide that will soon be impossible to bridge. Market pressure, financial reality, and technological acceleration are converging. Together, they turn inaction intoa high risk strategic choice. 1.1Market Dynamics: Customers,Competition, and Talent Are MovingFaster Than Core Systems 1.2Financial Dynamics: The HiddenCost of Standing Still Delaying modernisation is often perceived as a prudentfinancial choice. In reality, legacy systems impose apersistent and compounding costIn claims, leakagerepresents between 5% and 10% of total claims costs (5),driven by manual processes and fragmented data. Thiserosion recurs every year. Customer expectations have shifted decisively.65%of insurance customers would consider switchingproviders for faster claims handling and morepersonalised products (1). Speed and relevance are nolonger differentiators. They are minimum expectations. On the IT side, 70% to 80% of IT budgets are spentkeeping the lights on, including maintenance, patching,and workarounds (6). These costs sustain operations butdeliver little strategic value. At the same time, competitive dynamics areintensifying.The embedded insurance market isexpected to exceed $700 billion globally by 2030 (2).Embedded models require real time integration andopen APIs, capabilities that legacy core systems werenot designed to support. Technical debt compounds the issue. Organisationsspend around 30% of IT budgets managing technicaldebt (7), making future replacement projects morecomplex and expensive the longer they are delayed. Digital native insurers highlight the impact. Builton modern platforms,they are able to launch newproducts up to ten times faster than traditionalinsurers (3), creating a compounding advantage overtime. Postponing modernisation does not avoid cost. Itamplifies it. Talent availability reinforces this shift.Around 70%of IT graduates prefer employers with moderntechnology stacks (4). Legacy systems are increasinglyseen as a liability rather than an opportunity. 1.3Technology Dynamics:GenAI IsAccelerating the Divide Delaying modernisation is oftenperceived as a prudent financial choice.In reality, legacy systems impose apersistent and compounding cost. Generative AI is rapidly becoming a strategic priority.Yet more than 70% of insurers planning to adopt GenAIidentify legacy core systems as their primary barrier (8). Without modern, API-enabled platforms, AI initiativesremain confined to proofs of concept. Many insurersare already stuck in pilot purgatory, generating insight without impact. The timeline matters. The average core modernisation journey takes at least two years. Insurers that have not startedby 2025 risk being unprepared for the AI driven and ecosystem based insurance models emerging around 2030. At that stage, modernisation will no longer be about gaining advantage, but about regaining relevance. These dynamics lead to a clear conclusion. This is the last period in which core system modernisation can still beapproached on one’s own terms. A widening chasm is opening between insurers who modernise and those who donot. Accelerated by GenAI and ecosystem models, this gap will not be bridgeable later. Recognising the need to modernise is one thing. Evaluating modernisation correctly is another. 2.Evaluating a Core System Modernisation