Insurance support offshore outsourcing is the subcontracting of typically non-core insurance activities to a third party. These activities include day-to-day back-office tasks like policy checking, data capture, data entry, archiving, insurance customer service, insurance IT helpdesk, and many others. Cost pressures, regulatory changes, legacy IT systems, and a fiercely competitive global market are pushing many companies to offshore outsource insurance support. Another driver for the growth of outsourced insurance services is the consolidation of regional and national insurance providers. To be able to focus on core competencies and business growth, insurers find that they must let go of non-core functions to specialists.Many firms see insurance support outsourcing as both a cost reduction and strategic business tool; some companies outsource support functions to gain competitive advantage while controlling costs, while others outsource support to extend the functionality of their in-house insurance departments. By offshore outsourcing routine insurance functions, the company can reduce operating costs, streamline internal processes, improve speed to market of insurance products, improve cash flow, improve customer service, and become more agile. Insurance support offshore outsourcing also frees up time so that internal staff can focus on core activities that drive revenue.The insurance industry was one of the first to outsource business services. The market is very mature, and most clients focus on value derived from insurance support offshore outsourcing engagements. In its infancy, outsourcing in the insurance sector was driven by companies seeking ways to improve efficiency and reduce costs. Today, companies work with insurance providers to drive innovation and improve the customer experience in a cost-effective way. According to an industry survey, more than 60 percent of companies already outsource some business processes, and more than 50 percent are looking for vendors specializing in key areas. About 85 percent of companies in the life insurance and annuity industry currently outsource some elements of their IT function.