1Vitor de Sousa_Auth0

As Regional Vice President, Vitor de Sousa supports Okta and Auth0's German customers in achieving their Identity and Access Management goals. With more than 20 years of experience in the consumer goods industry, as well as in technology and software sales, he develops strategically smart and creative solutions for the interplay of identity authentication, customer experience, and data protection.

Regional Vice President, Enterprise Sales - Germany

Vitor de Sousa

The pandemic accelerated digitization initiatives, a robust CIAM solution can assist in an iterative migration to the cloud

In the DACH region, trust is everything, and one of the first places you can build consumer trust is your login experience. German consumers say their main frustrations with signing up to a new app or online service are having to fill in long login or sign-up forms (42%) and entering private information (38%), followed by having to create a password that has to meet certain requirements (33%), and a new ID and password for every app or online service (31%). These statistics come from a [global research study](https://info.auth0.com/erwartungen-und-realitat.html) conducted by Auth0 and YouGov, including more than 2,000 consumers and 200 IT/marketing decision-makers in Germany.

One of the challenges organizations encounter when looking to launch new services or feature sets is the fact that many of these features are cloud-based while existing services that could benefit from integration are often legacy and hosted on-premises. Finding an [Identity as a Service (IDaaS)](https://auth0.com/blog/what-is-idaas/) provider who can link those legacy systems and modern cloud-first platforms is an important step towards creating a future-proof service. However, many organizations in the DACH region are still building their own identity solutions. Or they’re misusing tools designed for managing employee identities for customer-facing needs. Both of these scenarios can introduce additional pain points when it comes to joining legacy and modern systems.

## Digitization Projects Are Resource Intensive

IT departments have spent the better part of the last 18 months establishing work-from-home protocols, migrating critical systems to the cloud for better access, and ensuring that everyone’s data stays safe and secure throughout the transition. Despite the acceleration in these digitization projects brought on by the COVID-19 pandemic, many of these systems have to remain housed on legacy on-prem servers due to a lack of alternatives. Bridging the gap between these and the convenient cloud-based tools your customers need access to is a large undertaking, especially for IT teams that are already stretched thin supporting ongoing internal needs.

Your IT and development teams support the organization’s goals by creating and maintaining the best web applications for your customers and by keeping your infrastructure running smoothly. That way, everyone, both inside and outside of the company, has the best experience possible. Partnering with an IDaaS provider like Auth0 will free those teams to continue focusing on their primary goals by taking the task of user authentication off their hands — and putting it in the hands of identity experts. This ensures your users get the CX they’ve come to expect while you maintain control over your data and privacy.

## Legacy Workforce Identity Solutions Are Not Built To Face External Threats

The workforce [Identity and Access Management (IAM)](https://auth0.com/blog/what-is-iam/) tool you’re using today may look like an attractive option for your customer-facing needs. There are several problems with this idea, starting with the simple fact that IAM solutions are not focused on user experience (UX). Their priority is security, keeping your company’s intellectual property safe and secure from bad actors. 

The threats facing customer applications can be vastly different in type and scale. Workforce IAM verifies employee identity in order to approve access to just the tools they need to do their job effectively, from primarily company-owned devices. [Customer Identity and Access Management (CIAM)](https://auth0.com/blog/what-is-ciam/#:~:text=Auth0%20Docs&text=Customer%20Identity%20and%20Access%20Management,%2C%20customer%20experience%2C%20and%20analytics.) solutions, on the other hand, need to integrate protection against brute force attacks, password spraying attacks, along with other outside attack vectors. And they need to do that while maintaining identity verification across potentially millions of end-user devices and networks. Additional hurdles exist as well; for example, many IAM tools are on-prem only and unable to protect your new cloud-first infrastructure. 

## Growing Demand From Consumers for a Low-Friction Customer Experience

The acceleration and growth of online tools have increased consumer expectations for a safe and simple identity experience. They’re no longer willing to wait for slow pages to load or to endure lengthy and complex account creation flows. Your customers demand-responsive, intuitive design, or they’ll take their business elsewhere. In fact, 78% of German consumers say they have [abandoned an app or online service](https://info.auth0.com/erwartungen-und-realitat.html) due to an arduous login experience.

Addressing the systemic issues that need attention to keep up with this demand will put additional stress on your internal teams, pulling their attention away from those core goals we discussed above. You don’t need to sacrifice your user experience in order to create a user-friendly and trusted authentication experience. Auth0 provides a secure platform with a variety of cloud deployment options, including [private cloud deployments on Microsoft Azure](https://auth0.com/blog/auth0-on-microsoft-azure-as-a-private-cloud-deployment-option/) or AWS infrastructure, and public cloud options using AWS facilities in multiple regions, including Frankfurt. Built by and for development teams, Auth0 is easily customizable to create exactly the low-friction experience your customers demand without sacrificing security and extensibility.

## Auth0 Lets You Find the Right Mix of Security, Privacy, and CX

We’ve discussed three pain points organizations in the DACH region are likely to encounter when looking to deploy a new identity and authentication solution across both legacy and cloud-based systems. The Auth0 Identity Platform has a robust feature set designed to address these challenges and any others you may encounter as you embark on your own identity project.

### Extensibility allows you to quickly adapt your digitization project

Auth0’s founders wrote the book on identity management at Microsoft while helping development teams remove barriers to building applications in the cloud. The Auth0 Identity Platform is designed with developers in mind, with multiple [extensibility](https://auth0.com/extensibility) points that allow you to configure the exact authentication flows you want.

### Exhaustive integrations mean you can bridge the legacy/cloud gap easily and iteratively

No matter what systems you have housed on-prem or on legacy infrastructure and what you have already migrated to the cloud, our [Application Programming Interfaces (APIs)](https://auth0.com/docs/api) and [Software Development Kit (SDK) libraries](https://auth0.com/docs/libraries) mean, you can use one CIAM solution to bridge the gap. That allows you the flexibility to continue your deployment iteratively, knowing that your customer experience won’t suffer any negative impacts as you migrate more services to the cloud on your own schedule.

We’re able to integrate with most existing cloud-based SaaS services via our APIs and SDKs but can also integrate with your on-premise environments as long as they’re accessible via API or otherwise. We are also up to date with the [General Data Protection Regulation (GDPR)](https://auth0.com/docs/compliance/gdpr) enacted by the European Union in 2018, so we can help and support our customers in meeting their compliance requirements.

Additionally, [Auth0 Marketplace](https://marketplace.auth0.com/) and [Actions](https://auth0.com/actions) provide access to a wide array of out-of-the-box integrations with most line-of-business software and services. That means you can quickly connect your CMS and ERP to your new web app, and your users won’t see any change in their experience as it’s serverless, so there won’t be any interruption to your services.

### No-, low-, and pro-code options for creating a low-friction user experience

Between the pre-configured integrations in [Auth0 Marketplace](https://marketplace.auth0.com/) and our low-code [Actions](https://auth0.com/actions) capability, your development team can easily customize Auth0 to meet your customers’ expectations for a secure and low-friction authentication experience. For even more control, we still offer pro-code customization, as always, via our JavaScript editor.

The ability to have all your identity needs up and running quickly means your team can focus on serving their primary functions. Your developers can continue delivering top-quality experiences for your customers, and IT support can maintain your internal employees’ work environment, no matter where they’re working from.

## Partnering With Auth0 Ensures a Secure, Customizable CIAM Experience

You can rely on the identity professionals at Auth0 to help:

* focus your development team on innovation
* deliver the identity experience consumers have come to expect
* protect customer data with a deployment option that works for your business

That’s how you deliver an excellent user experience without compromising security or privacy along the way. Read more about our [compliance and certifications](https://auth0.com/docs/compliance), then [reach out to an identity expert](https://auth0.com/contact-us) to continue the conversation about how partnering with Auth0 can help your organization. 




Bridging Legacy Systems and Digital Transformation with CIAM

df6c864847fba9687d962cb80b482764?size=200 avatar

df6c864847fba9687d962cb80b482764?size=200

Martin Gontovnikas, a.k.a Gonto, is a software engineer at heart who moved to the ‘dark side’ and became VP of Marketing at Auth0. He considers himself lucky to have found a way to combine his two passions and apply his engineering thinking model to marketing.<br/><br/> Gonto’s analytical thinking is a huge driver of his data-driven approach to marketing strategy and experimental design. He is based in the Bay area, and in his spare time, can be found eating gourmet food at the best new restaurants, visiting every local brewery he can find, or traveling the globe in search of new experiences.

Former SVP of Marketing and Growth at Auth0

Martin Gontovnikas

Savvy insurers are forging ahead with digital transformation. Don't let your team fall behind.



Many people believe the insurance industry is stagnant. However, in reality, insurance is constantly evolving.

As the world changes, insurance companies must provide new offerings to keep up. For example, insurance for driverless cars or rideshare services wasn't on the radar of most insurance companies until only a few decades ago. And, new technologies — such as drones and [IoT](https://auth0.com/blog/security-for-smart-home-devices/) — also challenge insurance companies to keep pace.

Add to that [increasing customer expectations](https://auth0.com/blog/how-to-keep-up-with-hyperconnected-consumers/), new threats to security, [the rise of insurtech](https://useindio.com/how-to-defend-insurance-agency-against-insurtech/), and ever-changing regulatory requirements, and the insurance industry is anything but dry.

However, despite these frequent shifts, too many insurance companies are resistant to digital transformation, and that resistance means they risk falling behind — or worse.

## What Exactly is Digital Transformation?

[Digital transformation](https://auth0.com/app-modernization) is more than just an oft-repeated buzzword. Put simply, digital transformation means leveraging technology. Digital transformation refines or even [automates existing business processes](https://auth0.com/blog/staying-safe-in-the-automated-workplace/) to ultimately improve the operation of your business and the experience of your customers.

“Insurers that digitize the enterprise in this way can automate slow, error-prone and expensive processes for increased speed, accuracy and cost efficiency,” explains a [whitepaper for EY](https://www.ey.com/Publication/vwLUAssets/ey-digital-transformation-in-insurance/$FILE/ey-digital-transformation-in-insurance.pdf).  

![Outdated infrasrtucture presents risks](https://images.ctfassets.net/23aumh6u8s0i/2tHULoDyNDOhrE58j4hLPJ/8bf6a6e1653a647f3e5c73c2e821aaa2/outdated-computer)

[Image via Pexels](https://www.pexels.com/photo/computer-computer-keyboard-contemporary-display-257881/)

When executed correctly, digital transformation will streamline and simplify company operations for both short-term and long-term gains.

## The Risks of Outdated Infrastructure in Insurance

Despite the numerous benefits of digital transformation, many people still bristle at the idea. Change is difficult, and in an industry like insurance — where established firms have succeeded with business-as-usual for decades — introducing new technologies can ruffle some feathers.

However, failing to keep up comes with numerous risks and consequences.

Of course, cybersecurity is top of mind for many companies. But, it’s become a major priority in the insurance industry.

Hackers are increasingly [targeting insurance companies](https://www.cio.com/article/2899488/data-breach/health-insurance-companies-prime-targets-for-hackers.html) because they deal with sensitive customer information for the claims and underwriting processes — such as healthcare and financial data — yet are notoriously slow to implement measures to protect themselves and their customers.

International business auditing firm KPMG [surveyed more than 100 insurance CEOs](https://home.kpmg/qm/en/home/insights/2017/01/facing-the-cyber-threat-in-the-insurance-sector.html). Less than one in five of them believed that their company was adequately prepared for a cybersecurity threat.

Any sort of cyber event or data breach is undeniably bad for business. First, there’s the financial fallout. [Liberty Mutual’s shares dipped by 4%](https://www.businesslive.co.za/bd/companies/financial-services/2018-06-19-liberty-share-falls-after-data-breach/) in June of 2018 after the company disclosed a recent data breach.

In the well-known breach of the information of approximately [78 million policyholders at Anthem](https://www.insurancejournal.com/news/east/2017/10/10/466958.htm), the company agreed to pay $115 million to settle lawsuits resulting from the breach. The total amount that event cost them is more than triple that, once you include costs associated with incident response and resulting security enhancements.

Finances aside, a disregard for changing technologies and increased security threats can have dire effects on a business’ relationship with customers as well.

When customers feel that their private information isn’t treated with the care and consideration it deserves — such as in the case of a [State Farm customer](https://abc7news.com/technology/exclusive-sj-woman-discovers-security-breach-in-state-farm-app/775904/) who discovered a breach within the company’s app when she was able to access other policyholders’ information — all trust is lost.

"How can I not worry?” the customer said in an [interview with ABC7 News](https://abc7news.com/technology/exclusive-sj-woman-discovers-security-breach-in-state-farm-app/775904/). “Who has my information if I have their information?"

## What Insurance Companies Can Do to Step Into the Digital Age

Digital transformation is a must for insurance companies; however, the risks of botching an update that compromises vast sensitive data are real. How can insurers move forward without fear?

Here are three strategies insurance companies should use to protect themselves and their customers and improve their businesses in the process.

![Digital transformation is a must for insurance companies](https://images.ctfassets.net/23aumh6u8s0i/6vRX3OydveKV04LmxKKJF5/48b97c4270ecba8e0be7b1dedcaf9fc7/new-computer)

[Image via Pexels](https://www.pexels.com/photo/person-using-macbook-374720/)

### 1. Implement Better Customer Identity Management Measures

Nearly all insurance companies provide a portal for customers to log in and access their profiles, personal information, claim statuses, and more. But legacy systems for user registration and authentication are a barrier they need to move past.

Insurers need to establish better [customer identity management](https://auth0.com/b2c-customer-identity-management) to make it easy for customers to access their accounts— while making it simultaneously difficult for hackers.

### 2. Invest in advanced features like Anomaly Detection to Better Identify System-Wide Threats

Unfortunately, it’s far too easy for breaches and other malicious events to go undetected for a surprisingly long time.

As just one example, an [investigation into the well-known breach at Anthem](https://www.bankinfosecurity.com/new-in-depth-analysis-anthem-breach-a-9627) revealed that it all started with a lone phishing email that was opened by an employee in February 2014.

However, Anthem wasn’t able to [disclose the attack and notify customers](https://www.usatoday.com/story/tech/2015/02/05/anthem-health-care-computer-security-breach/22917635/) until February 4, 2015 — a year after it all began. By that point, the hacker had compromised at least 90 systems within the Anthem enterprise environment.

This speaks to the importance of having [anomaly detection](https://auth0.com/docs/anomaly-detection) in place that can alert you and your users of suspicious activity the moment it happens. Auth0 not only makes you aware of the attempts to access your application, but also blocks future login attempts—so you can catch the problem before it becomes even bigger.

### 3. Ensure You’re Up to Date With Changing Security Regulations

The increasing threats in the insurance industry haven’t gone unnoticed. That’s exactly why security regulations and requirements continue to be introduced to mitigate the potential of malicious activity.

[GDPR](https://auth0.com/gdpr/), which went into effect in May 2018, requires that organizations using data of EU citizens abide by a set of strict standards when collecting, processing, storing, and sharing personal information. Teams that fail to comply could be fined €20 Million or up to 4% of annual revenue.  The regulation has had a [ripple effect](https://auth0.com/blog/brace-yourself-the-gdpr-ripple-effect-in-california/) across the world, with states like California following suit.

And, the insurance industry itself has taken steps toward stricter regulations and protective measures. The [National Association of Insurance Commissioners](https://www.naic.org/cipr_topics/topic_cyber_risk.htm) formed the Cybersecurity (EX) Working Group in response to the increasing demands on insurance companies. (These charges now fall under the Innovation and Technology (EX) Task Force.)

Before disbanding, this group completed numerous cybersecurity activities. Most notably among these was the adoption of the new Insurance Data Security Model Law (#668), which requires insurers and other entities licensed by state insurance departments to develop, implement, and maintain an information security program, investigate any cybersecurity events, and notify the state insurance commissioner of such events.

Keeping up with these sorts of regulations can be challenging, but Auth0 makes it painless. The platform supports industry-wide authentication standards and ensures compliance with the growing requirements of numerous leading organizations. Plus, [Auth0’s extensibility features](https://auth0.com/app-modernization) ensure that your identity platform can grow and evolve along with your business and industry.

![Stay up to date with changing security regulations](https://images.ctfassets.net/23aumh6u8s0i/2FdDc3lTZZSe4yBmMKpWwP/0779ad8e95312299b7fafc971e57dc77/security)

[Image via Pexels](https://www.pexels.com/photo/internet-screen-security-protection-60504/)

## Updating Legacy Systems: Insurers Need to Keep Up

The above steps will help insurance companies protect their information as well as the information of their customers. However, there’s also no neglecting the importance of employee education and awareness.

The better trained and informed insurance teams are about suspicious activity, the less likely they are to fall for various phishing scams and attacks.

Combine thorough employee training with the above tips, and insurers will step into the digital age — while also improving their businesses and customer relationships.


How Insurance Teams Can Quickly Step Into the Digital Age

How top teams are updating their legacy systems with more secure and efficient solutions.



You used to pay with cash. Then credit cards. Then EMV cards. Now, we’re moving toward things like [cryptocurrency](https://auth0.com/blog/an-introduction-to-ethereum-and-smart-contracts-part-3/) and [biometric authentication](https://auth0.com/blog/tags/biometric-identity/).

Payments and the technology involved in making them are constantly evolving. For example, payment company Square recently added [_Square Register_](https://techcrunch.com/2017/10/30/square-announces-the-register-a-999-point-of-sale-device-for-larger-businesses/) to its hardware lineup. Unlike most of Square’s other equipment, Square Register targets the needs of larger sellers.

![New Square Register hardware that targets larger sellers](https://images.ctfassets.net/23aumh6u8s0i/3cB517ydiTQ1OrJtW1Xcgp/21b12b0ff377b06d77686c542522fb9f/square-register)

At the same time, Mastercard is [_doing away with signatures_](https://newsroom.mastercard.com/press-releases/signing-off-mastercard-moves-beyond-signatures-worldwide/) on the backs of credit cards, and on receipts themselves, in favor of exploring more advanced technologies for identity verification. 

Even PayPal has jumped on the payment revolution by going beyond ecommerce. PayPal now offers customers the option to use their [_PayPal balances_](https://www.tearsheet.co/payments/how-paypal-is-moving-into-physical-retail) at physical retail shops through Android Pay. 

Needless to say, the [_financial services_](https://auth0.com/financial-services) and payments landscape is ever-changing. And a business that wants to remain competitive within its industry needs to look at [updating its legacy system](https://auth0.com/blog/how-do-i-modernize-my-legacy-system/) (or even ripping and replacing it) in order to be more secure, efficient, and compliant with customers’ financial data.

## What’s Inspiring These Changes?

We live in an age of [seemingly constant innovation and advancement](https://www.teampay.co/insights/how-blockchain-will-change-finance/), so it makes sense that payments are following suit.

But there are a few other factors involved in pushing these advancements in payment technology.

One is the uptick of credit card fraud and, as a result, the increasing consumer concern about their security and protection.

![Advancements and the Future of Payments and Payments Processing in 2019](https://images.ctfassets.net/23aumh6u8s0i/2tbJEM41OF7GvxFNduJbpT/1726b2e1900063ee05eb56c52b9a572f/future-of-payment)

Credit card fraud has steadily been on the rise. In fact, the [_financial industry estimates_](https://www.accenture.com/us-en/insight-banking-future-payments-ten-trends) that we’ll reach $31.3 billion in global credit card losses by the end of 2018. Credit card scammers are getting smarter. Today, these fraudsters are capable of not only [_selling credit card numbers_](https://www.businessinsider.com/credit-card-fraud-scam-what-to-do-2018-8) but also identifying information like zip codes. 

Additionally, new [_payment regulations_](https://home.treasury.gov/sites/default/files/2018-07/A-Financial-System-that-Creates-Economic-Opportunities---Nonbank-Financi....pdf) demand an increasing level of transparency and security. To stay compliant, businesses have no choice but to keep up with the changing technology and rules.

## The Future of Payments: 3 Advancements to Be Aware of in 2019

There’s no shortage of changes happening in the payments space. But trying to stay on top of (or even *ahead* of) all of them is a daunting task.

If you're like most companies, you're primarily focused on what you need to know right now. But to remain competitive, you have to stay ahead of the curve. What will payments look like in the future? Here are three burgeoning areas that you should be aware of as you look at updating your own legacy systems.

### 1. Multi-Factor Authentication Will Gain Even More Importance

As concerns over security continue to grow (for good reason), [multi-factor authentication](https://auth0.com/docs/multifactor-authentication) will be of increasing importance for consumers and businesses. 

Traditionally, you could access various accounts by entering a single identifier (think a username or an email address) and a correct password. 

But multi-factor authentication adds another layer to the identity-verification process by asking you to prove your identity in another way — for example, by entering a code you receive on your cell phone or even scanning a fingerprint.

You can think of it as a second security door. Hackers and thieves who are able to make it through the first will have a much tougher time passing through the second.

Because more and more financial and payment data is linked to our personal accounts (your credit card being stored in your Amazon account is just one example), we’ll see multi-factor authentication become the norm more and more. 

Many regions are actually instituting policies to mandate strong customer authentication—like [_PSD2 in Europe_](https://auth0.com/blog/open-auth-standards-psd2/). 

### 2. Point-of-Sale Analytics Will Become Even More Advanced

While the protection of data is an area of primary focus, so is* leveraging* data.

To make more informed predictions about the future, businesses are hungry for any information about what their customers are purchasing. That means we’ll see [_retail analytics_](https://auth0.com/blog/retail-analytics-past-present-and-future/) continue to expand — with an emphasis on point-of-sale analytics. 

Previously, POS analytics were fairly straightforward — they shared what was purchased, and by whom. But today these analytics are capable of reporting on where the item was stored or where it was shipped from and can provide information about inventory and dead stock and even details about the [_customer's identity_](https://auth0.com/blog/digital-success-through-customer-identity-and-access-management/) and their consumption patterns.

As we move into the future, payments are no longer just a one-time transaction with little to no data attached to them. Instead, this important point of contact will become an informative touchpoint for businesses to learn even more about their consumers. 

### 3. User Experience Will Be Paramount

Convenience and ease of use are main areas of focus for today’s customers. They’re no longer writing out checks or counting out stacks of coins—they want the payment process to be as streamlined as possible.

Just look at something like [_ZAPBuy_](https://www.prnewswire.com/news-releases/omnyway-launches-zapbuy-allowing-shoppers-to-buy-products-from-ads-with-a-snap-300425915.html), which was launched by Omnyway in early 2017. The tool allows users to hold their smartphones over an advertisement on any channel and immediately purchase what’s being promoted to them. 

Consumers have a desire to reduce or eliminate friction in the purchasing process, which is fueling this move toward more [_“invisible” payments_](https://www.tearsheet.co/payments/4-charts-that-show-the-coming-autonomous-payments-wave). Think about Uber as just one of many examples. You don’t think about making a payment when you step foot out of that Toyota Corolla—the transaction happens seamlessly behind the scenes. 

![Uber user interface and simple experience for the future of payments](https://images.ctfassets.net/23aumh6u8s0i/5bRmcm4wRgjkEXsWdYrgJz/24020dd49f3fcabbe8d6c24fcd5b69ab/uber)

When today’s customers see a clunky or cumbersome purchasing process, they immediately head in the other direction. Payments are expected to be fast and easy—and that’s an expectation that will only increase as Generation Z makes up [_40% of consumers_](https://www.accenture.com/t20171012T092426Z__w__/us-en/_acnmedia/PDF-62/Accenture-Driving-the-Future-of-Payments-10-Mega-Trends.pdf#zoom=50) by the year 2020.

## What This Means for You: Updating Legacy Systems in Your Business

Change is here for payments, and it’s going to keep coming.

That means it’s time to start looking at [updating legacy systems](https://auth0.com/blog/how-do-i-modernize-my-legacy-system/) related to payments in your business. While your current systems, tools, and software may work for you right now, they might not have the level of flexibility required to keep up in this ever-evolving industry.

Having the right resources in place will make it much easier to stay on top of—and maybe even ahead of—the constant barrage of changes and advancements in the world of payments. 

Wouldn’t you rather do that than fall behind? We thought so. 

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"legacy systems"