Gartner Says Indian Insurers to Spend 121 Billion Rupees on IT In 2014

Gartner's picture
Printer-friendly versionPrinter-friendly versionPDF versionPDF version

Core and Insurance-specific Software Initiatives to Propel the Market in 2014

Indian insurance companies will spend 121 billion rupees on IT products and services in 2014, a 12 percent increase over 2013, according to Gartner, Inc. This forecast includes spending by insurers on internal IT (including personnel), hardware, software, external IT services and telecommunications.

The 12 billion rupee software segment is forecast to be the fastest growing segment of external spending, growing at 18 percent in 2014 overall, lifted by accelerated growth of insurance-specific software. IT services, the biggest spending segment for the insurance industry at 40 billion rupees in 2014, will continue to realize robust growth of 16 percent. Category leaders are business process outsourcing (BPO) at 25 percent and consulting – much of which relates to these insurance-specific application investments – at 21 percent.

“Insurers in India are getting serious about their core insurance processes, especially where they help increase insurer penetration of the market,” said Derry Finkeldey, principal analyst at Gartner. “While internal spending is also increasing, Indian insurers have been quick to turn to the competitive technology provider sector in India for guidance and delivery.”

Further information on insurance sector IT spending is available in the Gartner report, ‘Forecast: Enterprise IT Spending by Vertical Industry Market, Worldwide, 2011-2017, 4Q13 Update’, available at http://www.gartner.com/doc/2659424. This vertical industries forecast provides total enterprise IT spending, including internal spending and multiple lines of detail for spending on hardware, software, IT services, and telecommunications for vertical industries and 43 countries within seven geographies.

Contacts
About Gartner

Gartner, Inc. (NYSE: IT) is the world's leading information technology research and advisory company. Gartner delivers the technology-related insight necessary for its clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, Gartner is the valuable partner in over 13,000 distinct organizations. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, U.S.A., and has 5,800 associates, including 1,450 research analysts and consultants, and clients in 85 countries. For more information, visit www.gartner.com.

Comments or opinions expressed on this blog are those of the individual contributors only, and do not necessarily represent the views of Gartner, Inc. or its management. Readers may copy and redistribute blog postings on other blogs, or otherwise for private, non-commercial or journalistic purposes. This content may not be used for any other purposes in any other formats or media. The content on this blog is provided on an "as-is" basis. Gartner shall not be liable for any damages whatsoever arising out of the content or use of this blog.

News Source : Gartner Says Indian Insurers to Spend 121 Billion Rupees on IT In 2014

Copy this html code to your website/blog to embed this press release.