Modern Customers Won’t Wait: How Life Insurers Can Cut Document Costs by 70%

Policyholders want fast, easy, and personalized communication. But many life insurers still rely on old systems that are slow, costly, and hard to update. 74% of policyholders say they want better transparency from their providers. But insurers struggle to meet that demand. This is because many spend up to 70% of their IT budgets just keeping outdated systems running.

Forward-thinking insurers are changing course. By updating how they manage documents and communications, they cut costs, improve service, and speed up innovation. And with the right tool, they can do it without overhauling everything at once.

Old Systems, New Problems

Legacy tools make it harder to serve customers and control costs. Manual document generation and distribution slows everything down. Errors are more likely and harder to catch. Meaning error-prone workflows require costly quality assurance and correction processes. Policy changes or updates take longer to process, and printing and mailing costs keep rising.

On top of that, every change, whether it’s a policy update or a regulatory requirement, means another round of IT involvement. That slows things down even more and pulls attention away from other priorities.

For many insurers, document processes aren’t just outdated. They’re a barrier to growth.

Why IT Budgets Stay Stuck in the Past

Put simply, insurers face massive technical debt. Most life insurers use systems that were built years ago. Every added patched over time has increased complexity and decreased usability. In practice, these solutions are often highly customized and tied to other core systems. So, updates are both risky and expensive. Even worse, the workers who know how to manage these systems are nearing retirement age. As technical expertise in legacy systems becomes scarcer, maintenance costs increase exponentially.

Many insurers also manage multiple systems at once. These may have come from different departments or past mergers. That leads to more complexity and more cost. And because life insurance policies last for decades, systems must store and access years of communication history. Managing all of this manually takes time—and money.

Real Results from Modernization

When insurers modernize how they handle documents, they see big improvements:

• Document costs drop by up to 70%.
• Application times shrink by 66%.
• Customer support calls during onboarding fall by 35%.
• New products launch 3x faster.

By transforming document-centric processes, carriers simultaneously reduce operational expenses and enhance service quality. Put simply, they can lower costs and offer better service, without adding new staff or overhauling their systems. This is a powerful differentiator in an increasingly competitive marketplace.

Modernizing Without Starting Over

Digital transformation doesn’t have to mean replacing everything. Many insurers take a smarter approach by improving processes one step at a time.

Instead of updating single templates, they focus on full workflows. This allows them to remove manual steps, fix delays, and automate compliance. Plus, cloud-based solutions connect to existing systems, so they don’t need to rebuild from scratch.

Modern tools also give control back to business teams. That means they can update messages quickly and keep communications consistent across email, print, mobile, and portals. Because they don't need to defer to IT, this dramatically reduces the time and cost associated with routine updates.

Security improves too. Some solutions (like Elixir Cloud) don’t store customer data at all, reducing risk and helping with compliance.

Why Life Insurers Choose Elixir Cloud

Elixir Cloud helps life insurers modernize communication without major disruption. This means rapid ROI upon implementation. It connects easily to existing systems, supports multiple channels, and gives non-technical users the tools they need to create and manage communications.

It also automates complex workflows, keeps data secure, and helps teams stay compliant.

Insurers who use Elixir Cloud report:

• Up to 70% lower document management costs.
• 66% faster application turnaround.
• 35% fewer onboarding support calls.
• 3x faster product launches.

Stay Ahead with Smarter Communications

Customers today expect more from their insurance providers. They want clear, timely communications—delivered in the way that works best for them. That means personalized, omnichannel interactions that reflect their preferences and provide real-time information.

Smart insurers are evolving to meet these expectations. By focusing on process-centric modernization, rather than template improvements, insurers can create sustainable competitive advantages that position them for long-term success.

Want to learn how? Download our brief, “The Future of Life Insurance Communications,” to see how other carriers reduce risk, lower costs, and create better experiences with modern tools.