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Scalable API Framework on Cloud for Leading Insurance company

Updated: Mar 18, 2022



Leading Insurance company wanted to revamp its Siloed Personal insurance lines products such as homeowners’ insurance, flood insurance, earthquake insurance, renters’ insurance, automobile insurance, life insurance, disability insurance, umbrella insurance, and health insurance.

All these compartmentalized systems have redundant logic integrated across multiple applications and technologies. A simple regulatory/rule change necessitated revisions to all individual applications, which took a long time and effort to complete.

New devices, connecting with various internal and external systems, higher consumer expectations, and increased competition arrived with technology, requiring Insurance company to change

Company needed to safely unlock data from several public and private apps to make key decisions


THE SOLUTION

The Company needed to evolve into a digital platform powered by APIs to become the Insurance company of the future. The team partnered with Microsoft Azure to build an API-led approach to use APIs for exposing data for some of the common services like below,

  • Built new Product Suitability API engine, which is a validation rules engine that converts regulations and policies into executable rules and sends the results to the appropriate consuming applications. This engine will address a variety of topics, including insurance product compliance and regulatory standards

  • Developed new Risk rating API engine that calculates a risk rating for each person or property based on their risk profile. Various underwriting applications in different insurance product lines will use this to make informed decisions.

Given the increasing demand for digital transformation innovation in the insurance industry, it is vital that Insurers examine and evaluate a wide range of open and public data sources and APIs to provide their policyholders with a comprehensive digital experience

  • Integrate Weather.com data and APIs to alert homeowners about coming tornadoes, exceptionally heavy rain, hurricanes, and other weather events that are specific to their locality, as well as a list of steps to avoid unnecessary damage claims

  • Provide insurance quotations in different currencies for car owners migrating from one nation to another by integrating foreign currency (FX) rates data and APIs.

Introducing an Azure API gateway between the UI layer and microservices as part of a strategic remedy to secure the underline communication to different micro services.

This would be the single point of authentication and authorization for all microservices. Internal and third-party developers can utilize the portal to reuse APIs to provide new products and services to clients.

API gateway best practices were used for authentication, traffic control, analytics, monitoring, transformations, logging, and other security features.



BENEFITS

• Reduced expenses by 50% for any new regulatory rule modifications that were required, as well as increasing regression testing without expanding IT resources, catching more API flaws early in the lifecycle, and streamlining cooperation to lessen the chance of missing the business case.

• Accelerated time-to-value by making deployment quick and effortless with On-Demand (autonomous) API Tests and Monitors that were ready out-of-the-box for primary insurance use cases and custom workflows.

• Accurate and uniform underwriting outcomes using Product specific rules engine



 



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