Cloud Computing and Competitive Advantage Among Insurance Firms in Kenya

Abstract

Insurance companies in Kenya are now battling fierce competition due to the usage of outdated ICT systems that slow down the performance of their workers. The sensitive nature of insurance company documents has sparked concerns about the security of the legacy systems in place. These firms require new ICT advancements to increase their performance. It was determined in this study that insurance companies depend heavily on cloud computing hosting services as well as the advantages and disadvantages of employing cloud computing hosting services. Technology Acceptance Model (TAM), Resource Based View, and Innovation Diffusion Theory were used in this research. It was a cross-sectional survey that was employed. All of Kenya's 52 insurance firms were the focus of this study. Multiple linear regression was employed to conduct the research. It was established that most insurance firms use cloud computing to great extent. This was followed by platform as a service. Hardware as a service was the least then by application as a Service to be used. It was established that insurance companies have benefited to great extent on use of cloud computing through access to data enabling you to work at any time. On the other hand, it was established that most of insurance face challenges when it comes to using cloud computing since some of its components require an internet connection to function, difficult to keep up with changing feature set.The regression analysis was used however the results were not conclusive.According to the findings, insurance companies in Kenya should make use of cloud computing services in order to acquire a competitive edge.