Paper has been forced out at Lloyd’s of London which is now seeing a big increase in the use of its new electronic trading system. According to one report, the London Market Group said that almost 3,000 policies were underwritten on the system in June, about double the amount conducted in June 2017. This is all thanks to Inga Beale, Lloyd’s of London chief executive, who wants the use of the system to be mandatory in an effort to reduce costs and boost efficiency.
In our view, if the infrastructure is there and it makes your life easier, there’s no reason why you shouldn’t make use of it. However, for years, brokers and MGAs have stuck to paper-based systems even if it takes too much time out of their day. So, what could implementing the right IT system bring to the business? Well, there are several possibilities/advantages:
- No double keying of data
IT systems can help to avoid unnecessary manual work by the stakeholders and offer a single rich record of the customer’s information in an enduring customer relationship management (CRM) system. It’s worthwhile, because effective journey planning by all parties will lead to a reduction in cost and time wastage through unnecessary administration. This will also help to retain customers and reduce customer churn. Remember, if you’re slow to get a quote to the customer the customer is unlikely to wait around as there’s so much competition out there.
- Improved and more complex products
Some say that insurance products have been kept simple for the pure reason that the IT solution can usually not provide the right backing. However, if you have the right IT solution you can get more creative and complex with your product offering. This could lead to more accurate underwriting and boost your profitability. If that’s not a good enough reason to get the right IT system in place, then I’m not really sure what will!
- Speed and flexibility
Products (or improvements thereon) are often shelved or their launched delayed because there’s no sufficient IT system or provider in place that can back it. If you choose a good partner that can deliver what you need then you shouldn’t have any problems in changing your tariffs, documents or workflows.
- Have easy access to data
In a world where we have an increase in regulation, it pays to have access to all our data – and preferably on one system. A report on Insly.com says that if this is not possible then you need to create the necessary integrations between the different systems.
Ultimately, you need to have the right, dedicated and qualified staff to implement the IT project. If you don’t, then it’s vital to have the right partner in place to help you. What software, app or product would you have in place to make your business more efficient, profitable and to keep your data in one place?
From reporting, management information to add ons an integration – we could do it all. Contact SchemeServe today to see how we can help you!