Policy adminstration

Data management has developed a bad reputation. Too many insurance executives see it as little more than edits and testing. They consider it a set of steps added at the end of a project, when it could cause delays. And therein lies the problem. Carriers need to change their way of thinking and start building data management into the project from the beginning rather than incorporating it later.

Enterprises are using more secure practices when it comes to data communications, according to a security survey conducted by Boca Raton, Fla.-based Amplitude Research Inc., commissioned by Albuquerque, N.M.-based VanDyke Software Inc. Close to two-thirds (148) of 235 respondents are somewhat or very satisfied with the reliability and usability of their secure file transfer solution. However, 163 of 245 respondents said they are likely to purchase a new or replacement secure file transfer solution within the next 12 months.This is the fourth year in a row that VanDyke Software has commissioned an Amplitude Research survey of network and system administrators from a variety of industries, including the insurance industry, on the subject of network security. The questions have remained mostly the same, although minor adjustments have been made to include questions about current industry developments.

Midwest Insurance Co. is an INNovators Award Winner runner-up, chosen for its strategy to replace an aging legacy policy administration system with one that now delivers real-time data to all end users.Just seven years old in 2005, Midwest Insurance Co. had already outgrown its policy administration system. "It was old client-server technology," recalls Rick Vogl, the company's vice president-IT. "The legacy system couldn't handle the volume of quotes we have coming through our system, and the amount of premiums we push through it.

Whether it's underwriting, billing or customer systems, legacy mainframe applications persist among even the most technologically advanced insurance companies. Enterprises are being forced to introduce new products and services faster than ever, and the implementation of cost-cutting strategies means that they have to do more with fewer resources.Service-oriented architecture (SOA) is an effective and pragmatic approach that enables greater system agility, including the legacy mainframe solutions that house enormous amounts of policy data. New legacy-SOA integration strategies must tap into mainframe performance, security and programming resources, as well as valuable data. When they do, good things can happen. Insurers taking this more comprehensive approach and making the mainframe an active participant in SOA initiatives are experiencing success.

London - Risk Management Solutions Inc. (RMS), a Newark , Calif. , provider of products and services for catastrophe risk management, launched a new initiative among six of Lloyd's largest managing agents this week designed to change the way exposure data is used in the London Market. The RMS London Market Data Community gives members access to data that has been standardized for use among the members. Data is prepared once by the RMS Data Cleansing Team, and then made available to the community, saving subscribers the time and money involved in preparing the information individually.

Boston - Electronic application submissions have grown dramatically since 2004 but still account for less than half of all new life/health business, according to a new report from Celent, a Boston-based financial research and consulting firm.

Chicago – Citing increased competition and falling rates, insurance brokerage Aon Corp., said yesterday that it will cut 2,700 jobs, or approximately 6% of its workforce, as part of a restructuring plan.The broker made the announcement as part of its release of its 3rd quarter financial results.

David Sampson, the newly appointed president and chief executive officer of the Property Casualty Insurers Association of America (PCI), a Des Plaines, Ill., group comprising more than 1,000 insurance company members, outlined his vision for the association at the organization’s annual meeting this week. More than 1,600 CEOs and senior executives from PCI member companies and global reinsurers participated in the 2007 meeting in Boston, setting records for attendance at the event.

Southern California — Two major insurers are going the extra mile to help their policyholders affected by wildfires by deploying mobile response vehicles to the disaster area. Los Angeles–based Farmers Insurance Group of Cos. is helping thousands of its customers as they file claims and begin returning to their normal lives. Farmers is trying to make it as easy as possible to file a claim by continuing to offer mobile command centers and its Mobile Catastrophe Claims Bus to serve the most customers before they are allowed to return home.

New Orleans — Carriers using advanced analytics in their underwriting, claims and marketing efforts will have a better chance of surviving the current and future state of a softening insurance market, Frank Coyne, chairman, president and CEO of ISO told the 800 attendees in attendance this week at the company’s ISOTech 2007 Connect Conference in New Orleans, La.

Armonk, N.Y. – In the past three years, 62% of enterprises with more than $5 billion in revenue encountered a major risk event, and 42% of these enterprises were not well prepared for the event, according to a study of more than 1,200 chief financial officers (CFOs) and senior finance executives from 79 countries worldwide. The study, from IBM, concludes that a surprising number of enterprises are not well prepared to handle the impact of a major risk event to their organization.

Orlando, Fla., and El Segundo, Calif. - Applied Systems Client Network (ASCnet) and Computer Sciences Corp. (CSC) each awarded customers at their respective conferences.Chambersburg, Pa.'s Strickler Agency Inc. received the inaugural "Interface Agency of the Year Award" presented by ASCnet, the user group for Altamonte Springs, Fla.-based Applied Systems agency technology. The award was presented at the 22nd Annual Technology, Education & Networking Conference.

New York - New York Life Insurance Co. announced today that Frank Boccio has been elected executive vice president and chief administrative officer, reporting to Ted Mathas, president and chief operating officer. Boccio has responsibility for individual policy services, corporate information, corporate services, corporate Internet and business resiliency."Frank is a superb administrator and his leadership has enabled us to improve customer service and agent service in many ways," says Ted Mathas. "Frank's new role will allow him to work even more strategically across several key areas so that New York Life continues to offer world-class service, systems and operational capabilities."

New York - Guy Carpenter & Co. LLC, a global risk and reinsurance specialist and a part of the Marsh & McLennan Cos., expanded its award-winning, Web-enabled i-aXs data management platform to include both workers' compensation and accident and health lines.

Simsbury, Conn. - The Hartford Financial Services Group Inc., Hartford, Conn., appointed Brian O’Connell, a 25-year industry veteran, to vice president and chief information officer (CIO) for its expanding Hartford Life operations. O’Connell replaces Terry Walker, who has moved into the role of chief administrative officer for Hartford Life Japan.

Bethesda, MD–Life insurance standards organization the Insurance Marketplace Standards Association (IMSA) has renewed the membership of five life insurers.

Wakefield, Mass. and Jersey City, N.J.– P&C policy and rating solutions provider ISO Insurance Technology Solutions (ISO-ITS) and consulting firm Edgewater Technology Inc. have entered into a strategic alliance.

Chicago–A new survey demonstrates that increased IT spending results in lower claims processing costs for P&C insurers.

Reston, Va.–Insurance regulators in eight states have granted written recognition to the straight-through processing (STP) standards initiative of NAVA, the Association for Insured Retirement Solutions.

New York – Still searching for applicants, the 12th Annual Webby Awards is accepting entries for its Best Insurance Site of the Year category until Dec. 14, 2007