Build or buy?
Insurance Nerds focused a lot on this question in 2024. Should you build your own tech platform for things like secure document storage, e-signature, and encrypted email? Or should you use technology already built by pros? It’s tempting to think, “Hey, I’ll just whip something up myself or hire someone to do it. How hard can it be? And we can save some money at the same time!”
Let’s pump the brakes for a second and really think this through.
Sure, you’ve got low- or no-code tools that can connect different apps and make your life easier. But building an entire system is a whole other beast. Keep reading as we look at the risks and why this might not be the best idea.
Risk #1: If You Build It, You Own It (And That Means Fixing It at 11 p.m.)
Here’s the thing — when you build your own tech platform, you’re responsible for it. All the time. Imagine this: it’s a Friday night, and you have plans to kick back and relax, but suddenly your system crashes.
Guess who’s on the hook to fix it?
Yep, you. (Maybe you’ve outsourced the build to a developer, but now they’re MIA or charging you extra for emergency fixes. Either way, it’s still your problem.)
And let’s be frank — tech breaks… all the time. It’s not a matter of if something will go wrong, it’s when. Do you really want to spend your time troubleshooting your tech or managing system and software updates instead of focusing on your clients and growing your business? Unless you secretly love debugging code at midnight (if you do, more power to you), this is a huge headache waiting to happen. I can already hear an objection: ”We are using a no-code tool!” Great. You might not be debugging code, but you are still debugging and will likely be watching YouTube videos late into the night, looking for help.
Risk #2: Security Is No Joke (And You’re on the Hook)
Think about it: What if there’s a data breach? Not only could your clients’ trust in you evaporate overnight if their information gets in the wrong hands, but you could also face legal and financial repercussions. And guess what? The blame falls squarely on you. There’s no tech company to point the finger at because, well, you’re the tech company now.
Building a secure platform isn’t just about encrypting data and calling it a day. It requires constant updates, testing, and staying ahead of ever-evolving cyber threats. Unless you’re ready to moonlight as a cybersecurity expert, it’s best to leave it to the pros.
Risk #3: Opportunity Cost—What Are You Giving Up?
Here’s something else to consider: Every hour you spend building and maintaining your tech platform is an hour you’re not spending on what really matters — serving your clients, growing your business, and closing deals. Time is money, my friends, and if you’re pouring all your energy into tech, what are you leaving on the table?
Why did you get into this business in the first place? Was it to be an insurance agent or broker and serve as a trusted advisor and build wealth for your client??
Or was it to sell insurance, serve clients, AND be your own IT department developing your own tech, managing your own cybersecurity, and spending your valuable time finding and fixing bugs?
My guess is it’s the former. Your expertise is in helping clients navigate insurance policies and providing exceptional client experiences — not writing code or managing servers.
Why It’s Safer (and Smarter) to Use Existing, Credible Tech
Here’s the good news: You don’t have to reinvent the wheel. There is modern technology out there that is specifically designed to provide secure document storage, e-signature, automated workflows, encrypted email, and more. And the even better news? The tech is built by experts who live and breathe this stuff every day.
When you use a trusted third-party technology, here’s what happens:
● They handle the headaches: If something breaks, they fix it. If there’s a security issue, it’s on them to deal with — not you.
● You get peace of mind: Most reputable technologies are compliant with industry regulations and have robust security measures in place.
● You save time and money: Instead of sinking resources into building something from scratch, you can focus on what you do best — serving your clients.
And let’s not forget about legal liability. If something goes wrong with a third-party technology , they could be held responsible. That’s one less thing for you to worry about.
The Bottom Line
Sure, it might seem like a cool idea at first, but when you weigh the risks — late-night fixes, security nightmares, and lost opportunities — it just doesn’t make sense.
Instead, lean on the experts. Use technology that is already built by pros to meet your needs. They’ve got the experience, the infrastructure, and the resources to keep things running smoothly, all while keeping your clients’ data safe.
At the end of the day, your time is better spent doing what you do best — helping clients and providing them with a simple and streamlined experience. Let someone else worry about the tech stuff. We’ve learned that lesson at Insurance Nerds the hard way, which is one reason why we decided to use a technology like ShareFile.
ShareFile provides us with a seamless, customizable portal for collaboration and data management, all while helping us adhere to the latest security and compliance best practices. Learn more about ShareFile and workflow automation technology that’s designed for insurance.