Transcript E-Accounting Introduction Mark Barwick, LIIBA

E-Accounting Update
Mark Barwick, LIIBA
Background
•
LMG workplan for 2009 is based on “Finish what we’ve started”
•
E-accounting a key part of this
•
LMG Objective – Full Usage by Q42010
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Steering group formed –, Aon, Bell & Clements, HSBC, JLT, Marsh,
Tyser, Miller, Willis, Cooper Gay participating
•
Steering group committed to implementing e-accounting within six
months of go live date
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Phase One due to go live in November 2009, Phase 2 in Q3 2010
Objectives
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Move to the use of structured data for key fields
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Use international (i.e. ACORD) standards for submissions
•
Reduce re-keying on submissions and improve data quality (i.e.
what you submit is what you get back)
•
Remove the concept of Work Order and LPAN for brokers
•
Remove the burden of performing Accounting Splits from brokers
•
Provide consistent splits service and reduce query / rejection loops
•
Continue to fulfil reporting requirements (Lloyd’s and companies)
•
Minimise carrier impact
•
Removal of BSM (optional)
Scope
• All premium types and all contract types with the exception of
proportional treaty
• Release 1 - Submissions at the Non-fundamental Accounting splits
level
• Release 2 – Submissions at the Fundamental level (or partial)
• Delinked and non-delinked
• Some contract functions still processed via existing A&S functionality,
e.g. An e-Policy request on it’s own
E-accounts – Release 1 Tech Account
PLACED SLIP
BROKER
CREATE
SUPPORTING
DOCUMENTS
CREATE
TECHNICAL
ACCOUNT(S)
RECONCILE
TRASACTION
AMEND AND
RESUBMIIT
N
SEND BROKER
SN&D(s)
XCHANGING
AUTOLOAD
DOCUMENTS
& DATA
PREMIUM
CHECKS OK?
Y
PREMIUM
SIGNED
SEND CARRIER
SN&D(s)
INSURERS
RECONCILE
TRASACTION
ADD TO
DELINKIED
SIGNINGS
E-accounts – Release 1 Financial Account
PREMIUM PAID
BROKER
CREATE
FINANCIAL
ACCOUNTS
RECONCILE
WITH
TECHNICAL
ACCOUNTS
RECONCILE
TRASACTION
AMEND AND
RESUBMIIT
QUERY WITH
BROKER
SEND BROKER
CONFRIMATION
N
XCHANGING
RECONCILE
WITH
TEHCNCIAL
ACCOUNTS
DELINKED
SIGNINGS
INSURERS
ACCOUNTS
RECONCILE?
Y
ADD TO BUREAU
SETTLEMENT
PROCESS
SEND INSURER
CONFRIMATION
RECONCILE
TRASACTION
3 DAYS
PREMIUM PAID
E-accounts – Release 2 Tech Account
PLACED SLIP
BROKER
CREATE
TECHNICAL
ACCOUNT(S)
CREATE
SUPPORTING
DOCUMENTS
AMEND AND
RESUBMIIT
AUTOLOAD
DOCUMENTS
& DATA
RECONCILE
TRASACTION
N
N
SEND BROKER
SN&D(s)
XCHANGING
NON FUNDAMENTAL
SPLITS REQ'D?
Y
INFORMATION
AVAILABLE?
Y
CREATE NON
FUNDAMENTAL
PANS
PREMIUM
CHECKS OK?
Y
PREMIUM
SIGNED
N
SEND CARRIER
SN&D(s)
INSURERS
RECONCILE
TRASACTION
ADD TO
DELINKIED
SIGNINGS
E-accounts – Release 2 Financial Account
PREMIUM PAID
BROKER
CREATE
FINANCIAL
ACCOUNTS
RECONCILE
WITH
TECHNICAL
ACCOUNTS
RECONCILE
TRASACTION
AMEND AND
RESUBMIIT
QUERY WITH
BROKER
SEND BROKER
CONFRIMATION
N
XCHANGING
RECONCILE
WITH
TEHCNCIAL
ACCOUNTS
DELINKED
SIGNINGS
INSURERS
ACCOUNTS
RECONCILE?
Y
ADD TO BUREAU
SETTLEMENT
PROCESS
SEND INSURER
CONFRIMATION
RECONCILE
TRASACTION
3 DAYS
PREMIUM PAID
Release 2 Accounting Splits Service
• Xchanging create any non-fundamental splits required to support
insurers regulatory/ tax requirements
• Brokers provide Xchanging the information in MRC and/or provided
in an optional spreadsheet format
• Brokers receive Broker Signing Number & Date (BSND) at the level
they submit
• Carriers receive a Carrier Signing Number & Date (CSND) at the
non-fundamental level
• Lloyd's Account Enquiry and the company market equivalent will
have mapping between BSND and CSND
• BSND to CSND file sent to both broker and carriers
• Claims may quote BSND
Timescales – Release 1
Project Phase
Status
Analysis & Design
Complete
Build
Complete
System Test
93% complete
Market Acceptance Test
October – November 2009
Implementation
End November 2009
Rollout Convoy 1
January 2010 – March 2010
Release 1A
February 2010
Timescales – Release 2
Project Phase
Status
Analysis & Design
October 2009
Build
March 2010
System Test
May 2010
Market Acceptance Test
June 2010
Implementation
July 2010
Rollout Convoy 2
February –May 2010
Rollout Convoy 3
May – July 2010
Rollout Convoy 4
June – September 2010
Rollout Convoy 5
August – November 2010
Rollout Convoy 6
October – January 2010
Rollout Approach
• Limited LMG funding in place for 2010
• The objective; connect as many brokers as possible for the funds
which are available
• Process managed by Xchanging and LIIBA
• Brokers will be assigned to convoys based on when their software
will be available
• Brokers need to hit convoy milestones or face being dropped from a
convoy and having to wait until last
• Business plans required detailing internal rollout so Xchanging can
plan
Implementation Plan
eAccounts Implementation Timetable
Week
Pre Implementation
Software House
Training and Testing
Broker Business
Testing
Production Set Up
LEGEND
1
Engagement Meeting
ALL
Xchanging
2
Return of Registration
Forms
Software House
Broker
Broker/
Xchanging
3
XAG and IMR
Registrations
Software House/
Xchanging
Software House/
Broker
4
XAG and IMR
Registrations
Implementation Plan
eAccounts Implementation Timetable
Week
Pre Implementation
Software House
Training and Testing
Broker Business
Testing
Production Set Up
LEGEND
5
Connectivity Testing
ALL
Xchanging
Software House
6
Connectivity Testing
Broker
Broker/
Xchanging
User Training
Software House/
Xchanging
Software House/
Broker
7
User Training
Implementation Plan
eAccounts Implementation Timetable
Week
Pre Implementation
Software House
Training and Testing
Broker Business
Testing
Production Set Up
LEGEND
8
Business Testing
Phase1
ALL
Xchanging
Software House
9
Business Testing
Phase1
Broker
Broker/
Xchanging
10
Business Testing
Phases2 - 7
Software House/
Xchanging
Software House/
Broker
11
Business Testing
Phases2 - 7
Benefits of E-accounts
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Common approach for brokers for bureau and non-bureau insurers
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Single approach makes automation easier
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Reduces staff training costs
Reduction of Xchanging re-keying
•
•
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Improved reconciliation & faster process
Removal of need to create non-fundamental accounting splits
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Saving cost and time where brokers use the service
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Reduced future IT costs – regulatory changes irrelevant
Additional front end validation can reduce premium queries
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Preventing unnecessary human intervention
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Builds upon your investment in DRI and the XML Gateway
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Removal of work orders & PANs
Next steps for brokers
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Speak to your software house
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Speak to LIIBA about your convoy allocation
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Ensure slips contain base information to drive Accounting Splits
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Identify your internal Project Manager for the implementation
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Register for the LIIBA briefings on 30th October or 9th November
for more details – Email [email protected].