Edgewater Technology and ISO Webinar - Increasing Agent Policy Submissions
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The Agent Experience “Reaching The Summit” Tuesday, January 17, 2012
Transcript of Edgewater Technology and ISO Webinar - Increasing Agent Policy Submissions
The Agent Experience“Reaching The Summit”
Tuesday, January 17, 2012
Presenting today…
Todd Meyer
Senior ConsultantISO Rating Solutions
Philip Monahan
Principal Consultant
Edgewater Technology, Inc.
Jeff Lopata
CIO
Preferred Mutual Insurance
Agenda
• Insurance Business Environment
• ISO Rating Solutions
• Integration Options And Challenges
• Case Study
• Preferred Mutual Insurance Company
• Q&A
• Founded in 1992
• Publicly traded (NASDAQ: EDGW)
• 400+ employees
• Over 3100 Projects Delivered in 19
Years
• Large North American footprint
• New UK presence
• Focus on upper-middle and global
2000 markets
Edgewater
Insurance Services Office• Formed in 1971 as a not-for-profit
advisory and rating organizationfor the U.S. property/casualty industry
• Headquartered in Jersey City, New Jersey, U.S.A., with offices throughout the world
• 4,000+ employees
• Trading under parent “VRSK” on NASDAQ
• Industry expertise to guide development of analytic solutions for specific customer needso Insurance pricing, underwriting, and insurance
claims analysis
o Financial services risk mitigation and fraud detection
o Healthcare claims analysis and fraud detection
o Climate and environmental impacts and risk assessment
Insurance Business Environment
• Soft Market
• Compliance Requirements
• Flexibility
• IT Cost Reduction
• Web Enablement/Self Service
• IT Key Differentiator
• Carriers Must:o Achieve agility and cost effective integration with internal
systems
o Provide flexible, secure, easy access for agents and consumers
o Increase automation to improve discipline and efficiency, reduce error rates and minimize manual review
o Improve Agency Integration
o Speed the time to market for new insurance products and coverages
o Reduce cost of change
Remaining Competitive
ISO Rating Solutions
► ISO Electronic Rating Content – your jumpstart
► ISO Rating Service – your fully-automated solution
ISO Rating Service
•Enables a single rating solution for multiple ISO and non-ISO programs
•Incorporates ISO-interpreted content
•Utilizes a powerful content inheritance model that allows company-customized rating deviations and state exceptions
•Streamlines delivery of ISO content updates via ISOnet
•Open platform – works with any Policy Administration System
•Works with web services and queues to fit in Service Oriented Architecture
How does the ISO Rating Service address this challenge?
Powerful
Rating EngineToolset
ISO-Defined Rating Content
Ongoing Maintenance
ISO Rating Service
ISO-Interpreted Content
Advisory loss costs
Rules
Forms attachment logic
Statistical code assignment
Single Rating Solution
ISO Rating ServiceCommercial Lines
• Commercial Auto
• General Liability
• Commercial Inland Marine
• Nonfiled Inland Marine
• Commercial Umbrella
• Commercial Property
• Crime and Fidelity
• Commercial Package Policy
• Businessowners
Personal Lines
• Personal Auto
• Homeowners
Workers Compensation
• Bureau States
• Independent States where permitted)
Development Process
Deviation
Analysis
Countrywide Mapping
State Mapping Services Rating Assemblies
Establish Database
Install EngineCreate
Ratebooks
Integration Challenges
► Legacy Modernization –Mainframe, Client Server
– Compatibility
– Flexibility
► Custom User Interface– Internal vs. External facing
– System Response
– Multi-system integration
► Existing Back Office Systems– Document Generation
– Data Dependence
– Accounting
Preferred Mutual Project
► In Business > 100 years
► Mid-Size Carrier
► $230M DWP
► Commercial Lines
► Personal Lines
► 4 states
Preferred Mutual
Project Stats
► LOB’s: BOP and Commercial Auto
► States: 4 - NY, NJ, NH, MA (BOP only)
► DWP:
– BOP - $17.5m
– Auto - $8.5m
► Duration: 9 months
► Project Team: Joint Preferred Mutual/Edgewater resources
► Custom Agent User Interface with 400 Agents
► Mainframe
► QuickFill
► Credit Score
► MVR
► Claims History
► Middleware Tools/Technology
– BizTalk
Integration Points
► Results
– Growth
• Prior to implementation, Preferred lost nearly 15% of commercial automobile book (2007-2009)
• In the last 18 months (through 2011) recovered all of the 15 % lost in prior years
• Prior to implementation, Preferred lost nearly 4% of BOP book (2007-2010)
• In the last 12 months (through 2011) has grown nearly 13% (not including our largest state that went into production in October of 2011)
Realized Benefits
► Agent Comments
– Easy to use
– Great workflow
► Increase In Submitted Applications
► Policies More To Appetite
– Use of underwriting rules engine controls submissions
Realized Benefits
Best Practices
► Manage expectations
– Be ready to address the challenges
► Build the right Team
– Project Management, Partners / Vendors
– Business Knowledge
► Play to your strengths & be realistic aboutyour weaknesses
► Minimize risk in all areas
– Requirements, Development, Conversion and Rollout
Q & A
► Philip MonahanPrincipal Consultant
Edgewater [email protected]
(781) 213-9827
► Todd MeyerSenior ConsultantISO Rating Service
(513) 886-0636
► Jeff LopataCIOPreferred Mutual Insurance
(607) 847-6161
Contact Information
