What is the most important thing for this insurance executive?

“Data is the foundation of how effective any technology can be,” Galgali said. “We’re using data to understand the customer, to understand what the customer wants, and to deliver the experience, i.e. what the customer expects.”

Galgali, who is also the vice president of the Munich Re US P/C subsidiary, has been working in his current role since August 2017. He joined American Modern in December 2014 as an engineering program to lead the company’s business transformation program.

These changes have been successful, he said, which included, among other things, the implementation of Guidewire’s main platform and technology to replace old systems and processes. The company’s board itself is in need of a major overhaul, he said.

“If there’s one thing that’s going to be successful, that would be it,” he said. “It was a $100 million plus implementation of the entire platform, and it also involved the successful conversion of over 1.2 million points by our customers to the new platform.”

Change

The conversion was not a movement of data, but also a non-renewal of procedures in the old organization when they were changed, he said.

American Modern had five different technology systems running its entire business before the change, and that number dropped to one. More than 50 different brands have been combined into 11 personal lines, business cover and so on and American Modern has also combined nine law firms from different countries into one.

“I would say that we are about to launch a new insurance company in American Modern,” Galgali said.

American Modern chose Guidewire for a wide range of services, including its policies, billing and reporting, data and other services. It also helped implement customer-facing digital technologies designed to improve customer service, among other developments.

Galgali has also benefited from his current work, which focuses on driving and modern methods.

“In my current job… I would say that it is [about] the whole nature of innovation is to bring new technologies into the value chain, to give to our customers,” said Galgali.

Using the Guidewire platform has allowed American Modern to take leaps and bounds in cutting-edge technologies.

“They have data in a structured way, which allows them to cover AI and machine learning with data [products and services] on top of that,” he said. “Their data solutions are what we adopted.”

Technical expert

Galgali explains that he has been a technologist for a long time, drawn to the field for fundamental reasons.

He said: “It solves problems in beautiful ways that we have never seen or thought of before.”

An example of this is the way the industry handled complaints five years ago, when companies would no longer consider using aerial photography to avoid in-person inspections to register.

“Technology brings new ways of doing things that we would never have thought of and it makes things run smoothly and changes things,” he said. “Technology is the foundation, the fundamental thread of how we do business, and everything in our lives. That’s what excites me about technology, because it can do things that people never imagined before.”

With this in mind, American Modern has invested in using data to improve its existing technology.

American Modern and parent Munich Re invest heavily in their assets and build their infrastructure, he said.

“It’s part of data management…. Understanding how to get clean data and how to get it through the system [and] how we put analytics on it, because AI and machine learning can’t work if you don’t have the right data on the ground,” said Galgali.

To continue

When asked if the insurance industry is finally catching up with technological advances that they can use and benefit from, Galgali said, although they were late to the party.

Insurers are getting more into technology with the emergence of modern insurtechs around 2015, he said, one of the last industries to turn to technology to transform the business.

“He’s had to play games and he’s come a long way,” he said. “Leaders have obviously realized that they have to be part of the solution. They cannot sit on the sidelines and ignore it, and those who are going to jump into the fray will embrace it with both hands.”

However, Galgali noted, many companies are still resisting the full adoption of technology.

“Companies are not ignoring technology, but they are ignoring the trends that are changing and changing things,” said Galgali.

He added that companies are still afraid of widespread technological change and choose to sit back and let things change. Galgali recommends a different approach.

“We have to move forward. We have to learn from it, even if things fail. Failure is success because it teaches us things,” said Galgali.

He said American Modern started the technology transition early even though management was unsure about other options.

“We got into it. We learned and we crossed paths,” he said. “Some of the people out there are waiting for a good time to take over. I don’t think there will be a good time.”…