Is your policy admin solution naughty or nice?

Written by Layla Muth on December 19th, 2017

It’s that time of year when we’re all getting ready for the holidays. Being December, you’ve probably heard “Santa Claus Is Coming to Town” played on the radio over and over … and over … and over. What’s the one thing Santa does in the song? He makes a list and checks it twice to find out who’s naughty and who’s nice. Well, we thought we would follow Jolly Old Saint Nicholas’ lead and make a list of the eight things we believe a policy admin system needs to make the “nice” list.

Two weeks ago we revealed the first four characteristics of a “nice” policy admin system. If you missed Part 1 of this blog, you can read it here. Now without further ado, here are the last four characteristics we believe are integral to a “nice” policy admin solution:

Ability to create streamlined, logical UX

In P&C insurance software, first impressions matter. A lot.

After all, no matter how well a core system functions – its seamless integration capabilities, its ability to handle a massive number of concurrent users, its support for highly complex products and lines – a clunky UI or an unintuitive user experience can ruin adoption rates and significantly impact ROI.

That means it’s essential for a “nice” P&C policy administration solution to create a highly streamlined, logical user journey – without the need for expensive and time-consuming custom coding projects. (Remember: Coding = Krampus.) In other words, it should be possible to tailor out-of-the-box (or near out-of-the-box) functionality to the exact needs of the carrier, its products, its staff and its policyholders.

Advanced Rule Capabilities

It’s no longer enough that a P&C policy administration solution be able to tout itself as “rules-based.” All leading systems technically meet that criteria; all “rules-based” really means, after all, is that business or underwriting rules are incorporated somewhere. You don’t want to be stuck with that.

By contrast, today’s “nice” insurance software solutions take rules capabilities to the next level – empowering carriers to innovate and adapt quickly to changing market dynamics. Factors like being able to leverage previous work, support for multiple rule types and straight-forward rule reapplication improve system performance, increase operational efficiency and allow product offerings to be defined by business need, rather than by the limits of technology.

Scalability for Any Eventuality

Every insurance carrier has contingency plans in place for when something goes wrong. But what about when things go right? High growth in this arena doesn’t just mean Major Awards … it also comes with massive increases in policies in force and system usage.

Some might say that would be a good problem to have; a “luxury” issue. Problem is, growth can turn to decline rather quickly if a dramatic increase in the number of simultaneous users or transactions chokes PAS performance. If you can’t be confident that your systems can handle increased load, you’re left fearing success, rather than enjoying its fruits.

So when you’re shopping for a P&C insurance software solution, make sure to take future performance – response times, throughput and the like – into account. Don’t just think about your usage today. Your plan is to thrive … that’s the entire point of a core system replacement, after all. Pick a “nice” policy admin system that can grow with you, no matter how big you get.

Support for Large Policies and Schedules

In the real world, the biggest issue with large policies isn’t simply their size – it’s that they can’t be addressed in a vacuum. There are real human and business factors to be taken into account when it comes to processing capabilities. On paper, having your system spend a few minutes run a complex process on a 50,000 vehicle multi-state policy might not seem like much, but it’s an exercise in frustration for the individual user sitting at her workstation, staring at the spinning wheel like a kid looking at their Christmas presents while Mom and Dad eat breakfast. Likewise, if the system offers only synchronous (“sit and wait”) processing, work halts on the 99 percent of policies that are normal sized while the software chugs away on that same massive outlier.

What does this mean? When it comes to policy admin support for large policies, you’re not just looking for a “powerful” system. Pure throughput sure doesn’t hurt, but it’s a blunt-force solution. Instead, the key is to find a “nice” policy admin solution that combines exceptional performance and scalability with true intelligence: “trigger and tackle” processing, support for multiple concurrent users working on different aspects of the same policy, robust filtering and sorting capabilities, and the ability to propagate changes to all or a selected set of items on a large schedule in one shot. All these contribute to enhancing the maintainability of large policies and significantly reducing the operational cost and frustration

If your policy admin system doesn’t have these basic characteristics, then put that system on the naughty list and look for a nice solution – like the Adaptik Suite.