Global insurance IT spending to reach $140.2 billion this year

Total insurance IT spending worldwide will hit about $140.2 billion this year and will continue to grow into 2015, says research firm Celent.

In 2015, insurance industry IT spending will be around $154.5 billion, “a cautious but encouraging indicator of future growth,” Celent says in the abstract to the report,  IT Spending in Insurance: A Global Perspective, released Monday.

“Regional uncertainty in Europe is putting a damper on insurance premiums and the resulting IT spending,” notes Catherine Stagg-Macey, senior vice president with Celent’s Insurance Group and co-author of the report.

“North America has a respectable growth rate for the coming years, and the emerging markets continue to forecast very strong growth off a small base,” she adds.

Financial institutions in North America and Europe currently make up 73.2% of global IT investments by insurance companies, Celent says. Those in the Asia-Pacific region account for 20%, Latin America 3% and the Middle East, Africa and Commonwealth of Independent States accounts for 3.8%, Celent says.

The full analysis of insurance IT spending is available on Celent’s website.