The verdict in three sentences
For a Dublin insurer handling 12,000 claims a year, replacing the whole core insurance suite is rarely the right call: policy administration, reserves and technical accounting already work. The gain lies in the claims journey: online first notification of loss, supporting documents, loss adjuster assignments and measured turnaround at every step. Expect 40,000 to 90,000 EUR excluding VAT for a custom module with an Irish or European agency (market estimate) or 10,670 to 22,870 EUR and up on the Kolonell grid, with a 5 to 7 month timeline.
Full insurance suite or custom claims module
Market insurance suites (policy, claims, reinsurance, reporting) cost in 2026 between 100,000 and 400,000 EUR to implement for a mid-sized insurer, before annual licences (market order of magnitude). They cover everything, but the claims module is usually designed for the internal handler, not for the policyholder or the adjuster.
| Criterion | Full insurance suite | Custom claims module |
|---|---|---|
| Implementation cost | 100,000 to 400,000 EUR (market) | 40,000 to 90,000 EUR (market), 10,670 to 22,870 EUR and up (Kolonell) |
| Deployment time | 12 to 24 months | 5 to 7 months |
| Online claim by the policyholder | Standard portal, little customisation | Guided mobile journey, photos and documents in 5 minutes |
| Adjuster assignments | Email or a separate extranet | Adjuster workspace, timestamped report upload |
| Turnaround measurement | Monthly reports | Timer per step, breach alerts |
| Existing system | Heavy migration | Connector to the current core system |
| Maintenance | Vendor contract at 15 to 22% a year | 120,000 FCFA a month on the Kolonell grid (about 180 EUR) or equivalent package |
The module plugs into the current core system through an API or file exchange: the claim file is created in the module, while reserves and settlement stay in the core system. That is how 5 to 7 months is achievable instead of two years.
What the insurer must measure: claims settlement times
A claims director manages time above all. Here are 2026 orders of magnitude seen on a home and motor portfolio, before and after digitising the journey (estimates, to be recalibrated on your own data).
| Claim step | Typical time before | Target time after | Module lever |
|---|---|---|---|
| Notification to file opening | 3 to 5 days | Under 24 h | Online form, automatic triage |
| Opening to complete documents | 12 to 20 days | 5 to 8 days | Automatic SMS and email reminders |
| Adjuster assignment | 4 to 7 days | 1 to 2 days | Allocation by area and claim type |
| Adjuster report submitted | 15 to 25 days | 10 to 15 days | Adjuster workspace, alert on day 10 |
| Report to settlement offer | 8 to 15 days | 3 to 5 days | Built-in scales, approval by threshold |
| Offer accepted to payment | 5 to 10 days | 2 to 3 days | Transfer triggered from the file |
| Average end-to-end time | 47 to 82 days | 22 to 35 days | Dashboard-driven management |
The Central Bank of Ireland Consumer Protection Code already sets claims handling expectations, including regular updates to claimants and prompt settlement once agreed. A timer per step proves compliance and surfaces stuck files.
Central Bank, GDPR and security: what weighs on the budget
A claims module handles health data (bodily injury), bank details and sometimes location data. Three cost lines must appear in the specification:
| Requirement | What it implies | Share of budget (order of magnitude) |
|---|---|---|
| GDPR and health data | Special category data safeguards, retention periods, records | 10 to 15% |
| Central Bank requirements (internal control, AML) | Decision traceability, audit trail, role-based access | 8 to 12% |
| DORA regulation (digital resilience) | Testing, incident management, framed provider contract | 5 to 10% |
| Application security | Strong authentication, encryption, penetration tests | 8 to 12% |
| Policyholder journey accessibility | WCAG, mobile readability | 3 to 5% |
Together these lines represent 35 to 50% of the cost of a serious module. A quote that does not itemise them underestimates the project.
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Illustrative example: Siobhan, claims director at an insurer in Dublin, handles 12,000 claims a year with 28 handlers. Each file takes on average 2.5 hours of manual work (data entry, reminders, exchanges with the adjuster). The module automates reminders and document collection, an estimated saving of 45 minutes per file.
Calculation: 12,000 × 0.75 h = 9,000 hours a year, about 5.5 full-time equivalents. At a loaded cost of 45 EUR an hour, the saving reaches 405,000 EUR a year. Even with a 90,000 EUR module plus annual maintenance, payback falls under 4 months of operation, before counting the effect of shorter settlement times on satisfaction and churn.
FAQ
How much does claims management software cost for a mid-sized insurer?
A full suite requires 100,000 to 400,000 EUR to implement. A custom claims module costs 40,000 to 90,000 EUR on the European market, and 10,670 to 22,870 EUR and up on the Kolonell grid.
How long does deployment take?
Plan 5 to 7 months: 4 to 6 weeks of scoping and compliance, 3 to 4 months of development, then 4 to 6 weeks of testing and a pilot on one line, for example home insurance.
Do we need to replace our current core system?
No, in most cases. The module talks to the core system through an API or files, which avoids a 12 to 24 month migration and limits operational risk.
How do we meet Central Bank and GDPR requirements?
The module keeps an audit trail of every decision, applies role-based access and stores health data with strict safeguards. These requirements represent 35 to 50% of the budget and must be priced from the first quote.
What results should we target in year one?
End-to-end settlement time cut from 47 to 82 days down to 22 to 35 days, and 30 to 40% less handling time per file, as an order of magnitude. Set these targets on your last 12 months of data.
Let's scope your project. Send us your claims volume, priority lines and current system: we will price a module on the 10,670 to 22,870 EUR and up grid, with a 5 to 7 month timeline. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
