A&S Repository
The next step forward in premium processing
Mark Barwick, Project Manager, LMBC
Geoff Kennard, Xchanging
Date: 13/03/07
© Xchanging 2007
Agenda
1. What is Electronic Premium Accounting (EPA)?
2. Background
3. Three EPA routes – Email, Direct Load, DRI
4. Scope of A&S Repository Release 2 & 3
5. Benefits of EPA
6. Further Information & Rollout
7. Volumes and usage to date
8. Demonstration of Direct Load
9. Questions
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Electronic Premium Accounting – What is it?
“Electronic premium accounting is the submission of slips, PAN’s, policy wordings and
supporting information by the broker to Xchanging for processing”
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DRI
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Email
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Direct Load
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Background
FEB 06
MRPO Provide Xchanging with letter of intent to proceed
FEB 06:
Xchanging produce Project Initiation Document
MAY 06:
Email Submission start
MAY 06:Business Design agreed
JUNE 06:
Functional Specification agreed
AUG 06:
Market Acceptance Testing completes
SEPT 06:
Direct Load submission start
JAN 07:
DRI submissions start
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Common Characteristics of all EPA Options
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Prepare PAN’s, Signing slips and supporting documents
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Prepare Work Order
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Presentation date rules the same as paper
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All documents stored in the Insurers Market repository (IMR) and available to all
insurers
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Queries managed via the Urgent Resubmissions process – presentation date kept
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Can use it with or without delinking
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BSM/ IPCBSM and CSV file
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UMR – Unique, consistent, correct format
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EPA Scope
In Scope
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Marine, Non-Marine, Aviation
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Original Premiums, FDO’s, AP’s and RP’s
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Stage One, Stage Two, S&A
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Slip Policies, PPS, Broker produced wordings, Express Check
Out of Scope (Release One)
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Proportional Treaty processing
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Simultaneous settlement items and Reinstatements
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Claims
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LORS
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Mid term market change
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Mid term broker change
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Aviation Vertical placements
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Multi-section slips with different markets per section
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Email
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Was introduced before Direct Load and DRI available to test process
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Only used by a limited number of parties
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Work Order provided as an Excel document
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More work for broker and Xchanging than either Direct Load or DRI
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Going forward some Release 2 and 3 functionality will not be included
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Not recommended for new starters
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Audit and control risks
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To be withdrawn at the end of 2007
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Direct Load
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Internet based application available free of charge to all LMBC members
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Lets brokers try out the process without major spend on technology
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Work Order data captured in the application
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Will be enhanced during 2007 for releases 2 and 3
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DRI – Document Repostiory Interface
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What is it? - An ACORD standard developed to share documents with others
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Uses XML technology
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Used for A&S, ECF, ELPAN2 and G6 Placing Pilot
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Work Order provided as a Technical Account message
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Implementation options
– Build it yourself
– Via your Software house
– Via third party managed repository
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Future Releases
Release 2
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Support the processing of Urgent transactions
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Lloyd’s reinstatements (Single UMR)
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Email confirmation of receipt of Work Order
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Store all DRI Metadata
Release 3
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Proportional treaty
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Lloyd’s Reinstatements - multiple UMRs
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Simultaneous Settlement of Work Packages involving more than one UMR
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Lloyds Binder APs/RPs for simultaneous settlement
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Utility Repository
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Additional DRI functions for download and search
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Direct Load Entry of Metadata
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DRI Change metadata attributes
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Beyond 2007
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The MRG Roadmap sets out two key A&S Projects, ELPAN2 and eBOT
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Benfield providing the project management for these projects on behalf of the LMBC's
Market Reform Strategy Group
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Both use ACORD Technical & Financial Accounts foe the submission of accounting
data
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Slips and other documents still provided as images in a repository
eBOT
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eBOT – Aimed at the non-bureau market
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Live with two brokers and six carriers
ELPAN2
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ELPAN2 – Covers all bureau insurers
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Aon go live with Release 1 mid 2007, Release 2 end of 2007
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Other brokers to follow
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Source: LMBC
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Benefits
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Faster turnaround times - “van time” eliminated.
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DRI functionality consistent with ECF and Placing Pilot
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Insurers can view all documents
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Utility function – watch this space
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Faster premium payment
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Faster query resolution
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Getting Started
Have you signed the repository rules?
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Who has signed up? (as at 12th March 2007)
Alston Gayler & Co Limited
Aon
ARB International Limited
BDB
Benfield
Besso
Butcher Robinson and Staples International Limited
Citynet Insurance Brokers
Contractsure Ltd
Cooper Gay
Corrie and Partners
Corrie Bauckham Batts Limited
Glencairn Ltd
Guest Krieger Limited
Guy Carpenter
Harman Kemp North America Ltd
Harman Wicks and Swayne International Ltd
Harman Wicks and Swayne Limited
HSBC
H.W. Wood Limited
JLT Group Ltd
Kite Warren & Wilson Ltd
Lockton Companies International Limited
London Market Insurance Brokers Limited
Marsh
Meridian Risk Solutions
Miller
N.I.B (UK) Limited
NMB (Newman Martin & Buchan Limited)
Price Forbes & Partners Limited
SBJ Limited
Stow and Croton Limited
Towers Perrin Claytons
Tyser & Co Ltd
Willis Ltd
Source: Market Reform Website: http://www.marketreform.co.uk/claims_rep_rules.htm
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Getting Started
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Have you signed the repository rules – See LMBC 13/2007 issued on 29th January.
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How will you store PAN’s and slips?
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Will you use Direct Load or DRI? Speak to your software house
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Documentation - http://www.marketreform.co.uk/a&s_pubs1.htm
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LPAN completion guidelines
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Email/ Direct Load/ DRI User guides
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Stage One Accounting checks
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What is your software house doing?
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Brokasure Desktop – DRI solution available and live with Cooper Gay, NMB
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Brokasure Enterprise – currently being tested by Lockton
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Trace – Benfield, Guy Carpenter, Miller and Harman Wicks and Swayne live
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Total Objects – Build under way, expected to complete mid year, Rollout from Q3.
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SSP – No firm plans as of yet
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Morning Data – Build starting soon, system test Q2, MAT from Q3, Rollout Q4
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TIW (The Insurance Workplace) – A third party managed repository service with DRI
integration. System Testing Q1, MAT and go live Q2. Tyser signed up
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Sequel – Build underway, MAT targeted for end of Q2/Q3
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GPM – Will integrate their application with TIW
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DataPro – Waiting for their clients to confirm their requirements
If your software house is not listed here do you know their plans?
Source: LMBC
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Rollout Approach
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Brokers divided up into implementation convoys
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CRM’s will offer brokers an implementation slot
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Aim to have majority of brokers connected by year end
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LMBC will monitor feedback from the CRM’s and assist where required to resolve
issues
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If you are developing DRI then consider using Direct Load in the short term
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If you are a niche broker make your CRM aware that you require Release 2 and
Release 3 functionality to process any volumes
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Geoff Kennard
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Common Issues (1)
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Training and testing are crucial to a smooth and successful implementation
– Common submission problems
– Training & testing enhanced with common learning
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Don’t underestimate the cultural change within your organisation
– For example broker technicians repeated hitting send on DRI creating multiple
packages
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Remember to try and replicate the current paper process – if it happens on paper then
chances are it should continue to happen in an electronic environment
–
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e.g. multilayered risks written on one slip should continue to be sent in as one
work package (per paper)
The Work Order is key to getting your work processed quickly and correctly
– get the 8 fields correct
– However we will not reject if they are wrong
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Common Issues (2)
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Resolution of queries and rejects require the workpackage to be ‘returned’ to the
control of the broker rather than resolution and amendment of queries via the phone
on paper
– it will feel like more queries are being raised but this isn’t the case, and this
process has a more robust audit trail and allows for rejects to be resolved
much quicker than on paper via vans
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Expect the backend output to look different and make sure the technical accounting
teams are prepared for a different output from XIS
– our implementation testing helps with this
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Premium Submissions Summary
Premium Transactions
Premium transactions by day with weekly
average
• 25% of LPANS as
at end of January
1400
1200
1000
800
600
400
200
0
•10 Brokers
03
-J
17 ul
-J
31 ul
14 Jul
-A
28 ug
-A
11 ug
-S
25 ep
-S
e
09 p
-O
23 ct
06 O ct
-N
20 ov
-N
04 ov
-D
18 ec
-D
01 ec
-J
a
15 n
-J
29 an
-J
12 an
-F
eb
submitting
electronically
Daily
Weekly Average
Source: Tracker data
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Direct Load Demonstration
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Direct Load Demonstration
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Direct Load Demonstration
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Direct Load Demonstration
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Direct Load Demonstration
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