What is a SaaS infrastructure and what are the benefits for insurers?

Bertrand Pontailler: Insurance companies are increasingly turning to so-called SaaS (Software as a Service) platforms or solutions. The reason is simple: SaaS solutions offer a high degree of flexibility, at lower cost and are easy to integrate into existing ecosystems. SaaS solutions are quicker to implement, which, in a context of shrinking budgets and pressure on teams, is an interesting response; SaaS solutions can be seen as catalysts for transformation. Synonymous with scalability and flexibility, these platforms adapt to users’ needs in terms of both cost and accessibility.

What factors should an insurer consider when choosing one investment management platform model over another?

Bertrand Pontailler: There are now plenty of platforms, ranging from traditional on-premise software to SaaS solutions hosted in the Cloud. I would say that the choice depends primarily on the level of involvement and control a company wishes to exercise over their solution, in other words, what they wish to manage themselves, in-house, and what they want their supplier to take on.

With traditional software, the user has total control of the software onsite: basic infrastructure, data, operations and support. Companies have opted for this solution in the past because this level of control seemed more comfortable and reassuring. The problem is the long-term cost associated with maintaining and supporting this type of infrastructure.

The trend that has been emerging for several years now is that of the SaaS model, with the supplier taking full responsibility for the infrastructure, application, data, support, etc. A growing number of institutional investors are finding that this model fits in with their long-term growth objectives, because it is scalable, thanks to its integration into the operating model.

Could you tell us about Clearwater’s SaaS solutions?

Bertrand Pontailler: Clearwater Analytics is the world’s leading investment accounting solution and provides the most trusted investment data aggregation, reconciliation, accounting, and reporting. The Clearwater platform integrates into our clients’ ecosystem thanks to its flexibility and modularity to meet their specific needs: portfolio management, order management, position keeping, investment compliance, investment accounting, performance monitoring and reporting. 

With over $7300 billion assets processed on the platform, Clearwater Analytics covers a wide range of asset types on behalf of over 1300 clients worldwide. Offering the first and only SaaS-based investment accounting and analytics solution, it equips front- and back-office teams with an AI-enabled end-to-end investment solution.

How are your SaaS technology solutions continuing to adapt in an ever-changing economic and regulatory environment?

Bertrand Pontailler: Clearwater Analytics invests heavily in R&D, with the support of dedicated teams of experts, to ensure that our offering meets the needs of the market. Whether through in-house developments or acquisitions, Clearwater’s objective is to ensure that its solutions evolve and serve its customers with the best possible level of service.

For example, Clearwater Analytics has invested heavily in recent years to extend its level of service dedicated to . Spanning more than 100 asset types, Clearwater delivers accounting, compliance, risk, and exposure analysis and reporting, even for notoriously opaque investments like limited partnerships, mortgages, derivatives, and so many more.

We also devote a great deal of resources to ensuring that its solutions comply with the latest regulations. The directive, for example, requires regular monitoring to ensure that the changes introduced by EIOPA are regularly updated.

Do you think that the role of technology is going to become increasingly important to insurers going forward?

Bertrand Pontailler: The role that technology plays for insurers is obvious and can be seen as a catalyst for transformation and a competitive advantage in a market that is under increasing pressure (regulations, costs, international competition). We are seeing more and more companies embarking on a technological transformation, and we expect this growing demand to accelerate in the coming months. Insurance companies that fail to make the technological shift in time will be penalised by this delay. It is therefore essential to invest continuously in research and development, and to incorporate cutting-edge technological advances such as generative AI.

At Clearwater, we’ve been quick to embrace GenAI, to improve the user experience and finally make data speak for itself; and that’s just the beginning!