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All Aboard...Exciting Things Happening at AUGIE
We’re building momentum on our key initiatives. These include 5 top priorities to improve the agency distribution channel:
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Submission ID and tracking (assigning unique submission IDs to prospects during the quoting process)
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Two-way e-docs (utilizing standards and technology for two-way eDocs)
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Agribusiness download (work with industry stakeholders to process this business more efficiently)
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Provisioning and credentialing (work towards a trusted framework that is more consistent across all carriers to identify and provide agent access to their carriers)
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Intermediaries (educating the ecosystem on the potential of today’s automation opportunities)
Here’s a recap of key developments from our recent working group discussions:
1.Submission ID and Tracking
Agents would like to track their submissions and any information that is shared with their underwriters during the review and quoting process. The submission ID could be used until a policy number is assigned.
There are industry standards available today that can be implemented by the industry.
Next step: AUGIE will be documenting how to implement the standards, and the implementation guidance can be used by carriers and solution providers.
2.Two-way eDocs
Insurance processes and document sharing can be more efficient if it just wasn’t one-way. During the submission process, insurance underwriters need more information. Today most of the documentation that agents share to support policies is shared through email or through the carriers’ portals.
Two-way eDocs would enable agents to share documents directly with carriers, the same way carriers share information with them—using the agency management system. The AMS could upload information such as inspections or loss history to carrier partners, for example.
Next step: A group of agents and vendors are writing a business case, which covers all the stakeholders in the process, and describes why two-way eDocs should be implemented by carriers and vendors.
3. Agri-business Download
Agribusiness represents $4.9 million in insurance premiums. However, despite its large size, most organizations have not made the electronic exchange of ag information a priority. Agents want true agribusiness download versus the current approach in which ag is often included under commercial or inland marine. When Agribusiness is downloaded this way, it isn’t as detailed as agents need it to be.
There are industry standards available which have been implemented by a few carriers and agency management systems. This should become a priority for the whole industry.
Next steps:
- document information on the volume of US agri-business
- write implementation guidance for the industry standards
- develop a demo of the details that may be downloaded using the agri-business standards
- organize a session that can bring carriers, vendors, and agents together to discuss the issue and solutions
4.Provisioning and Credentialing
The provisioning of agencies to have access to the carrier portals is based on the agency’s appointment with that carrier. This process works well when the agency has a clear understanding about how the contract codes are assigned and used.
But there are many pain points, including:
- cumbersome processes
- deprovisioning employees
- multi-factor authentication
- ID sharing
A lot of the issues boil down into two main key areas: 1.) authentication – finding a way to attach an identity to a person that can be shared across organizations; 2.) authorization – giving the person access to the codes and processes they are allowed to handle.
ID Federation has made strides in managing authentication through agency management systems: identifying a person and then connecting to the carrier portals and giving the agent authorization to a specific carrier. It has partnered with Applied and Vertafore and is now working to add more carriers. Agents need to talk with their carriers and let them know they want this functionality.
Next step: Schedule a session where agents and carriers can come together, share their pain points, and identify ways they can improve the process.
5.Intermediary Markets, E&S, Wholesalers
During the submission process, agents may find the need to go through an intermediary to access a market for their client’s risk. Many of these markets do not use industry standards, data structures, or processes. Solution providers often fill the void by providing third-party resources. Third-party providers may be an option to bring efficiency to this distribution channel.
Next step: Work on a proof-of-concept to demonstrate how to efficiently share data with intermediaries.
If you are interested in getting involved in any of these discussions, contact Cal Durland (cdurland@ivans.com).
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