Unpacking the Policy Administration System

The property and casualty insurance market is becoming more and more inclined towards SaaS-based online administrative processes. Here we unpack the ultimate benefits and challenges to modernizing your legacy system with the best SaaS- and cloud-based frameworks.

If you’re reading this, you are probably already aware that transforming your policy administration software is one of the keys to transforming your business to take the market lead in the twenty-first century. But you may still have quite a few questions. How do you actually know if your business is indeed ready? How do you know what features to look for in the best policy management systems? So many concerns, and finding the place to start can be the most difficult part of figuring out the world of PAS.

Take a deep breath.

It is true that today’s insurance industries are evolving at the speed of light. And this is not a bad thing! It simply means that it is proving harder for insurance carriers to navigate a market increasingly peppered with such buzz phrases as "big data", "legacy modernization", "predictive analytics", and more. Many businesses are often told that switching to policy admin systems are the way to tackle these phrases — but how?

You want a system that offers all of your "usual" tools — product and forms management, underwriting, rules and rating, and easy integration. You need all the core processes — quotes, rates, and bindings; policy issues and generations; record keeping and basic file organization; and workflow management. But none of these functions are truly complete without the workings provided by the new policy administration systems. We are well into the era of the Internet of Things (IoT), and yet too many insurance companies around the world remain stuck with aging legacy systems that simply do not have the optimal capacity necessary to efficiently translate raw market data into workable numbers.

The following are some of the key attributes to look out for when searching for your personal policy administration software solution.

• High Flexibility and Customizability. You don’t always necessarily need something completely new to replace your system. And that is as it should be! Rather than uprooting the current framework, many insurance carriers may prefer a PAS that works with and complements the existing software by providing configurable modules. These will enable your business operations to function with the highest levels of flexibility and optimization.

The integration process itself should be simple and stress-free, empowering your business to choose between different vendors for third party support applications and data management. The best SaaS administration services provide easily customizable dashboards that empower even non-technically trained members of your task force to make full use of the framework.

• Full Control over Product and Forms Management. You need to be able to construct all workflows, rules, and output products and services within a time span of just a few weeks, all while maintaining your existing products with flexible version control. In the same vein, you want to be able to keep organized track of the thousands of papers, forms, and records flooding in and out of your system with ease. The online platform of such administrative systems affords all members of your company a great deal more peace of mind.
• Fast, Efficient, and Thorough Implementation. You want the installation guys to be in and out. A number of PAS frameworks are frequently associated with "high costs, change management, long durations, and data quality. They cost millions of dollars and take a long time to complete", often placing businesses that make the transition at higher risk for maintaining project continuity (InsuranceTekInsights.com). A truly great policy management system, then, can be fully integrated into your business in under a year — meaning that little to no sacrifices will be made to your daily operations, long term goals, financial costs, or staff morale.

Of course, the gradual implementation of a completely new system is a large and daunting task for any business. Installing a new policy administration system is by no means without its risks; large time sucks, high costs, and the looming task of properly evaluating your IT system’s modernization can prove a deterrence to even the bravest companies from making the transition from legacy systems to SaaS-based claims administration software.

Prime Technology Group, LLC is a global, technology services company with innovation at the core of our business engagements. For more Information visit http://www.PrimeTGI.com