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IBA at DIA Barcelona 2016

IBA was invited to present how IBA conducts Digital Insurance Innovation with IBSuite, Insurance as a Platform at DIA Barcelona 2016.

IBSuite: What to gain as an insurance CxO

As an insurance business executive you are of course continuously optimizing internal administrative procedures, seen from a cost perspective. You are also likely to have a regular need to make changes in response to external factors; new legal regulations, market shifts or changes in customer demographics or culture.

We regard the ability to adapt to a new situation a decisive factor for many of today’s insurance companies. Business is moving away from tied agents to independent brokers, MGA’s, internet channels and affinities. Especially for consumer products we see increasing commoditization and de-bundling – and a wealth of new products, channels and business models. Being able to innovate is therefore imperative if you want to stay ahead of the competition.

New requirements for your IT services

Many IT systems for the insurance industry are designed for few products, high volume and little change. Hence, much effort has been put in process improvement on the administrative side (the cost side of the combined ratio), with the unintended effect that system complexity has gone up and business agility down.
IBSuite is designed with change in mind, with a special focus on significantly smaller implementation projects, easy and quick configuration – not development – of new products and channels, access to all data for reporting, and a Software-as-a-Service deployment model that effectively shields you from costly and time consuming upgrade projects, system maintenance and IT infrastructure cost.
Key benefits of using IBSuite
  • Supports all consumer or commercial non-life product lines supported
  • Multi-channel sales (direct, affinities, web, mobile, white labels or sub-agencies)
  • Supports all processes; Marketing, Quote-to-Bind, Claims, Financial
  • Quick implementation and configuration of new products
  • Easy integration to other systems using latest IT standards
  • Attractive pricing model based on share of GWP
  • Compliant with local and EU data privacy and financial regulation
  • Enterprise level security
  • Supports multiple currencies and languages

IBSuite: Set up new insurance products with IBSuite Product Lab

productlabfront220 Easily launch new insurance products in hours or days through existing and new channels. The direct way to new business. Having the ability to adapt and reconfigure the insurance products in your portfolio on a regular basis has become increasingly important.

about IBA’s insurance product configuratorBroader access – narrower segmentation Educational fact sheet
Many companies and agents are successful in expanding their market reach by adding more insurance sales channels, withthe result that their ability to segment customers and prospects more narrowly increases in a linear way. By adding new affinities, you gain access to well defined and homogeneous customer segments, and by adding new insurance communication channels such as web shops, social media, or mobile apps, you gain access to valuable customer segmentation data.

You will experience that one insurance product does not necessarily fit all, even though this product already contains some flexibility, different options, sums, tariffs or clauses. The need for changes, additions and even brand new products or tariffs will appear on a regular basis. With IBSuite’s Agile Product Configuration capabilities, the creation of a new insurance product never becomes an IT project. Setting up new insurance products or creating a product variant is done in hours or few days by configuration and minor scripting only, and can be deployed without any IT downtime at all.

Flexible reusable tariffs

The tariff- and rating engine in IBSuite combines the power of the table based rating engine with the flexibility of the rule-/scripting based rating engine, giving you high performance and full flexibility at any given point in time.

Agile product configuration with IBSuite insurance softwareIn IBSuite tariffs are detached from the products, allowing several products to share the same tariff or sub-tariff if this is so required. This can dramatically decrease the complexity of your total tariff/rating setup, hence leaving less room for errors and less resources to spend on updating and maintaining the tariffs.
Tariffs/rates can be exported and imported in Microsoft Excel, allowing anyone familiar with spreadsheets to maintain and configure the tariffs.
Another key strength is that tariffs can be more than just hierarchical decision trees. You can add mathematical formulas to the tariff, which enables you to include easy configurable calculations without programming E.g.: Calculating a load factor based on a specific algorithm. Through callouts to script functions you can even invoke IBSuite functions to handle advanced calculations or invoke Web Services. For example, fetching risk parameters or even a full premium calculation from external systems or legacy backend systems.

Flexible componentized products
Sharing tariffs between products reduces the complexity considerably. Now you don’t need to maintain the same tariff or sub-tariff with loading factors by Zip-code or by car models in several places.

But not only tariffs can be shared between products in IBSuite; covers or other components of a product – even the more granular level called Premium Parts in IBSuite – can be shared between products too.

We doubt any other insurance software solutions could match IBA product configuratorThis allows for an extremely flexible way of building and configuring your products, where you over time assembles your new insurance products by reusing existing tariffs and premium parts, and likewise maintains most similar parts of the products in only one place. Just like LEGO blocks – but with the added twist, that if you need to change the colour or size of one type of block used in several products, you only haagile_2ve to change it once.

When configuring products, you also define how the product parameters should be made available through different sales- and communication channels (sales through brokers, policy administration back office screens, claim handling screens etc.). You can control access to the product parameters down to the actual field, allowing for a detailed segregation based on roles.

And as the user interfaces are dynamically built by IBSuite (without programming effort) you have the possibility to preview how the graphical user interface will look for any given channel while you are configuring the product.

Read more about IBSuite’s benefits around working with your channels in our Multi-Channel Sales description

IBSuite: Insurance Policy Administration

Naturally, policy administration is one of the core business processes in any insurance company as it both represents a large portion of the administrative costs involved, and even has a significant impact on customer satisfaction.

Process optimization
By using IBSuite for your insurance policy administration, you can significantly reduce time spent on mid-term adjustments, renewals, billing and dunning, updating customer data, cover changes etc. All policies, (along with all IBSuite data), are versionized in the system, allowing several members of staff to carry out changes to the same policy simultaneously and still maintain the full integrity of the data.

All alterations to data are automatically logged, so you can refer to the logs to determine when and why a change was made – and by whom. IBSuite also allows the user to add notes to individual policies so that all staff have important information at hand, and a better customer overview.

Case Management
If you are working with Policy Administration teams, you are probably very focused on the efficiency and accuracy of the work being done. Thus, Key Performance Indicators like number of outstanding cases, average turnaround time per case or number of cases re-opened is probably of great interest to you.

In IBSuite cases are used extensively and can be created manually or through automation either by the system itself or by an external application or service, eg. a customer support system or a website. Cases are tightly connected to the notification system and the built-in chat module. As soon as a case has been assigned, the caseworker is automatically notified by either mail, chat or on the dashboard. All case activities are registered on the case.

See IBSuite solution areas and point solutions (functionalities) to the right – including further description of our insurance software for Policy Administration.

IBSuite: Insurance Claims Administration

There are often many parties involved in a claims settlement, which can lead to lengthy delays because of the amount of communication and parties involved. For example, the customer, agent, broker, claims assessor, the claim handling clerks and sometimes a supplier for replacement of the lost or damaged goods, or a repair company.

Claims administration is an integral part of IBSuite thus allowing the claims handler to take full advantage of all data and registrations in the system. Likewise, all important claims data are accessible for other authorized users as a part of the 360⁰ customer centric IBSuite data model.

Automated insurance claim software
All tasks in the claims process – from the First Notification Of Loss (FNOL)-page or manually entered data from the telephone questionnaire, to the release of the claims reserves – can be automated in full or partially, and all actions or alterations made on the claim are logged. Documents or pictures are added to the claims case by simple drag-and-drop functionality or uploaded by the customer to further document the case. See also our product page about Claims Management for more details of the claims process.

By spending less hours processing claims your company will have more time to concentrate on other areas that are vital to the business.

Case handling can be easily outsourced to third parties who only will have access to limited customer- and policy-data to enable them to settle the claim. Because of the intuitive user interface, training can be completed in less than half a day, and there is no need to install any software locally at all.

IBSuite: Insurance Sales Management

As a sales professional, you know how important it is to have the right products and channels available at the right time, and that it is equally important to have a full overview of the customers and segments you would like to approach.
We designed our IBA platform, IBSuite, with this in mind and a special focus on building a customer centric insurance application, where configuration – not development – of new products and channels is quick and easy. We offer IBSuite as a Software-as-a-Service deployment model, which effectively shields you from costly and time-consuming upgrade projects, system maintenance and IT infrastructure costs.
See how the new intuitive and flexible Dashboards in IBSuite make your daily work easier and quicker:

Easy bundling of quotes or products

With IBSuite it is an easy process to add more products to the same quote, either as a part of a bundle that could trigger a bundle discount or as options for the customer to choose from. Furthermore, you have the possibility to define whether the products can be part of one single master policy (with one policy number for all quoted covers) or has to be separate policies – giving you a great flexibility on how you define bundles and how you want the policies to be renewed.

Effective overview of the sales process
As a sales manager, you want access to up-to-date sales performance data of
yo
ur team and business partners. Hence, data from all sales channels under your authority are aggregated in your dashboard, giving you an easy 360⁰ view on how important metrics like Conversion Ratio or Revenue-per-Product are developing.
You can also create your own reports, export to Excel or create your own widgets for your team.

IBSuite: Insurance Broker Processes

Is it hard for you to bring new insurance products to the market? Either due to inflexible IT systems or too high costs of Sales & Distribution in your current model …

With IBSuite insurance software for brokers you can enable your brokers and customers to use self-service, and at the same time get significantly smaller implementation projects, easy configuration of new products and channels, cloud-based delivery and a transparent revenue-sharing model. We believe all this would satisfy your need for agility, reduce your IT resources and give you a nice and transparent cost model.

Quote-to-bind process

Ideally, a full quote-to-bind process can be handled within minutes rather than days or weeks. You can create quotes as single policy, multi-policy or product bundles. The quoting process is fully supported by automation and can be enriched by integrations, e.g. for register or inventory lookup.

When a customer accepts a quote, convert the quote using either an automated process or manually through the user interface. Only quote entries marked for conversion are converted – allowing sales or policy administrators to omit unacceptable options.

The quoting and underwriting process supports a distributed sales model, where external brokers can create quotes through a dedicated broker portal. Policies/certificates are issued automatically if possible, however, configurable underwriting rules determine whether a quote can be accepted automatically or needs manual under­writing; in the latter case, the Underwriter is notified and assigned a case.

 

Using IBSuite for Brokers

Get a full end-to-end solution for insurance brokers 
• All processes from quote to claims
• Automatic, assisted or manual underwriting
• No IT-hassle. Quick implementation. Easy integration

Get advanced multi-channel sales capabilities
• Direct, web, affinities, sub-agencies, white labels
• Campaign planning & execution
• Swift configuration and implementation of new products and channels

 

IBSuite: Underwriting Workflows

Whether you are underwriting for cover of an oilrig or a car there are plenty of reasons to choose IBSuite as your underwriter system. The combination of increased competition and an increased Government interest for data privacy- and financial regulations call for the type of IT-service that increases your reach and capacity while safeguarding that all documentation is in place.

Adapting to new conditions
The need for speed in creating and changing insurance products are more important than ever, due to the growing affinity business and the desire to target narrower customer segments. Therefore, you cannot allow that the creation of a new insurance product turns into an IT project. Setting up new insurance products or creating a product variant must be done in hours or days by configuration and scripting only, and should be deployed without any IT downtime at all.

However, it is not only about time to market and about the cost of large IT projects. It is also about having the ability to detect and react as quickly as possible on metrics that indicate if external changes are impacting your business; does sales of a certain product suddenly drop? Has a broker lost momentum? Or, maybe even worse, are the risk profile of a certain portfolio changing rapidly? All indicators that you must have access to on a daily basis, and cannot afford to wait until the month or quarter end to realise. With IBSuite your underwriting platform becomes absolutely agile.

If IT is not your core business …
Managing IT projects all the way from requirements specification to deployment on own hardware can be challenging for organizations with scarce IT-resources. Therefore, we recommend your underwriting system to be IBSuite which is designed with focus on quick and agile implementation, and is deployed as Software-as-a-Service where all operations and maintenance are taken care of by IBA in our dedicated data centre.

IBSuite: New Business Innovation

We all recognize that the Olympic gold medalists in 100m dash as well as marathon are extraordinary runners. We also intuitively know that they would have no chance if competing against each other. Their bodies are very different, and for years their training has been focused on optimising their performance for very specific competitive scenarios

Likewise, your legacy IT is built for your ongoing business and is most probably fulfilling this task in a good manner. At the same time you might find that implementing new and innovative insurance products, -channels or -business models are too expensive or time-consuming, or acquisitions are too cumbersome to integrate into the existing IT environment. In that case, then do not try to bend your existing system in a wrong direction, because the characteristics of what you need are probably significantly different from what you have …

Bi-modal IT – or a Greenfield operation
More and more insurance companies have therefore realized the need for a bi-modal IT strategy, where a specialized IT-environment is used as an incubator for serving new business and testing new markets. Some companies implement this side-by-side with the existing platform and use it to foster innovation within the organization, and others choose to go even further and create a new legal entity with a separate brand and a new corporate culture. But no matter which approach you decide for, the keywords for the new setup must be “speed” and “agility”.

Dynamics & Flexibility
Today, you cannot allow that the creation of a new insurance product ends as a comprehensive IT project. Setting up new products or variants must be over in hours or days and deployed without any IT downtime at all. Third party data should be easily integrated to enrich the quality and user experience, and customer/partner self-service is a necessity.

IBSuite is an agile IT solution of the New Era as recommended by the Bi-modal IT ideas

We can help you!
IBSuite is designed with change in mind, with a special focus on significantly smaller implementation efforts, easy and quick configuration of new products and channels, and is deployed as Software-as-a-Service effectively shielding you from costly and time consuming upgrade projects, system maintenance and IT infrastructure cost.

In other words, an IT solution of the New Era.

 

 

IBSuite: Micro Tariffing

Micro Tariffing is an efficient vehicle to reduce risk and calculate a competitive price at the same time. In some countries, insurance companies have controlled access to essential public registers to retrieve valuable customer and risk information, such as Social Security Numbers (SSN) or car registration numbers.

But this is only part of the need. To achieve a full picture requires access to refined datasets, an extremely open and agile product configuration- and tariffing engine as well as specialized knowledge. Only IBSuite and the IBA partner ecosystem can deliver this.
 
Segmentation
Micro tariffing, aka Micro rating, is all about narrowing down segmentation and variance at the same time, and is mostly done either geographically or demographically. Some examples:
  • ZIP-codes do not give meaningful segmentation when dealing with burglaries, if statistics show that 65% of all burglaries are committed within a distance of 500 meters from a train station. No matter the ZIP-code.
  • If the policy holder has a basement to his house, adding an extra premium due to flooding risk doesn’t make much sense if he lives on top of a hill, due to the fact that incoming water invariably comes from the sewers.
Flexible tariff engine
IBSuite’s tariff and rating solution offers a combination of strengths from the powerful table based rating engine and the flexible rule-/scripting based rating engine. The data used for micro tariffing can either be stored locally or consumed via web-services from a third party data provider – or a combination of the two.
The above example with burglaries is in IBSuite implemented directly in the tariff, meaning that it is an integrated part of this particular insurance product and not something added on the side. Consequently, any recalculation of the premium – e.g. as part of a mid-term adjustment – will automatically adjust for a changed risk profile as well.
IBA has partners delivering this kind of refined data in an increasing number of countries.