In the past few years, the economies of Latin American countries have grown significantly. This boom in economy has caught the eye of global insurance companies. Now, for an American insurance company to grow in Latin American (LATAM) countries, a lot of factors need to be considered. The time zones are different for both the countries. The language and the culture will be different. Besides, there are about 50 million Hispanics in America today according to the census of 2010. The immigration reform bill is on the verge of being passed, if this happens, almost 10-15 million Spanish speaking undocumented workers will be able to purchase insurance. This could result in a huge spike in requirements of Spanish or bilingual insurance service providers.
In a survey conducted by the World Bank on seven Latin American countries, it was found that non-life insurance are purchased more and that too in an early stage of life compared to life insurance policies. This was because most local laws require having insurance on the purchase of vehicles.
A major US based insurance company providing services in more than 130 countries including 14 plus LATAM countries approached HCL. The company was looking for an organization to partner with and wholly develop the company established in Bogota, Columbia. Individually the company was facing the following challenges:
- Decentralized control amongst multiple locations with hundreds of employees
- Language constraints
- Availability of client SME’s
- Maintain confidentiality
After analyzing the problems team HCL came up with the following solutions:
- Transition support for setting up a shared service center in Bogota, Columbia to centralize LATAM operations
- Creating process maps and process documentations for all in scope processes in Spanish
- Ensuring that they recruit trained and skilled personnel
- The recruited personnel should be well versed with the company’s applications and processes
HCL’s solution helped the company to have an outstanding growth in LATAM countries and also resulted in the purchase of a lot of insurance policies.
Photo credit: Dave Dugdale