Cloud Technology Still a Bit Cloudy? A Practical Guide: Realizing Value from Web-Based Services by Phil Reynolds
The cloud is a significant driving force for digital innovation in insurance and refers to a network of connected services that manages, distributes, and connects computers. Globally, 77% of businesses operate on cloud services1.
The cloud is transforming insurance companies by shifting focus toward customer-centric technologies accessible from anywhere. The impact of this innovation can be seen in a number of technology trends, including digital customer relationship management, digital customer interaction, legacy replacement, modern architecture, algorithmic risk assessment, and live streaming of IoT analytics.
Security is arguably the most important consideration for insurers who are responsible for keeping their policyholders’ personal, banking, and identification information private and secure. Top threats to security include unauthorized access to accounts, hijacking of accounts, insecure programing interfaces, and external sharing of data.
However, the cloud offers top value in information security. Not only is cloud use heavily regulated and well-certified, but it is also used and endorsed by NASA, the Nasdaq, and the United States CIA. With cloud infrastructure, a company’s data is protected.
For the full article navigate to page 16 of the Spring 2017 Pulse by clicking here.
Expansion of the Federal Research & Development Tax Credit: Can your Company Benefit? by William Kuhlman
Now is a better time than ever to reevaluate whether investment in software development, analytics, predictive modeling and other value-added insurance development activities qualify for a federal tax subsidy known as the Research and Development (R&D) tax credit. Most insurance companies do not realize that these everyday value-added corporate activities may qualify under the updated or “relaxed” R&D qualification guidelines. Accordingly, companies engaging in any of the above activities may want to consider evaluating its’ eligibility for the R&D tax credit. The credit can be used as a tax planning tool; claiming a credit can permanently reduce federal/state effective tax rates, increase cash flow and assist with management of corporate tax burden.
From the beginning of the original credit provision in 1981, Congress extended R&D credit on a temporary basis and frequently it was done retroactively. This ad hoc extension approach inhibited many companies from evaluating the R&D credit. Effective, January 1, 2015, the R&D credit was permanently extended. Congress permanently extended the credit as part of the Protecting Americans from Tax Hikes (PATH Act) and included changes that result in more taxpayers being able to utilize the credit.
For the full article navigate to page 18 of the Spring 2017 Pulse by clicking here.
PAMIC is the premier provider of education, advocacy and networking for Mutual Insurance Companies in the Mid-Atlantic region. Some of the exclusive benefits include:
Our diverse membership covers companies from every aspect of the Mutual Insurance Industry. Find out how PAMIC membership can benefit your company!
For more information on joining click here!
110th Mid-Atlantic Mutual Advantage Convention
Check out the PAMIC Institutes