Insurance – Statement cases 2017-11-09T09:01:39+02:00

Case 1

A life insurance client asked us to create a unified view of their business starting from the leads lists used in their call centre operation through to confirmed sales and policies on their life administration system. In performing this task we were able to identify a number of  problems with the interface between the call centre sales operation and the policy administration system including 20,000 policies which had passed the sales quality assurance step but which had not been installed on the system as well as duplicate policy administration records emanating from the same sale. Based on our finding the insurer was able to install the missing policies thereby increasing the value of the business and avoiding serious penalties and customer service issues. They also benefited by getting an accurate view of the sales conversion rate for the different sales campaigns, allowing them to optimise their sales agent deployment.

By linking the sales operation to the post sale experience of the policy, the client was able to measure and introduce additional sales incentive geared to rewarding business quality and not just business volume.

Case 2

A life insurance actuarial valuations team was spending several hours every quarter checking the data received from the administration department for reasonability. These checks involved importing summarised data into a database and comparing total policy counts and premiums to the data received in the previous valuation period. We were asked to automate the data extraction process. As part of this tasks we also automated the reconciliation process at a policy and benefit level. Through this process we were able to not only produce the control totals, but were able to provide detailed information relating to every on and off movement lowing for further investigations to take place. Our reconciliation also extended to comparing and summarising the changes which occurred on every field pertinent to the valuation process. Finally by linking the valuation result to each policy and benefit, we were able to report on the impact every data variation had on the final variation result and the change between the previous and current valuation result (called an analysis of surplus).

As a result of our efforts and number of latent issues were picked up including policy misclassifications and the true impact of backdating policy commencement dates. This resulted in the business changing a number of business rules and allowed the valuation team to move to a monthly actuarial valuation process, with the same number of staff from a quarterly process significantly improving the management information available to the business.