Camilionâ¢ Solutions, a leading provider of insurance product development solutions and modern P&C policy administration systems that create enterprise product agility, announced today that ProductAuthorityÂ® now provides full integration to ISO Electronic Rating Contentâ¢ (ERC) for commercial and personal lines. With this latest innovation, ProductAuthority, which is widely recognized in the market as the leading insurance product development and management solution, will give P&C insurers a less risky, cost effective solution to full policy administration system replacement, while achieving their strategic objectives to grow into new markets or expand an existing book of business.
ProductAuthority enables insurers to integrate complete, pre-populated ISO product definitions with any P&C policy administration system or product dependent system, including Authority SuiteÂ®, Camilionâs modern rules and tools-based policy admin system. Even insurers with heavily deviated ISO products can gain the flexibility they desire to get new products to market faster and easier. Insurers can do so by leveraging the mature and industry leading inheritance and re-use capabilities within ProductAuthority along with the combination of configuration, rating, automated workflows and pre-populated complete ISO product definitions, interpreted by the source, ISO.
At the heart of the solution, business-analyst-friendly product configuration and rating allows inheritance and re-use of insurance product components such as company rates, rules, forms and stats from a central product repository. As a result, insurers can now manage, develop, and update ISO-based commercial and personal lines products from 50 to 85 percent faster(1) than the traditional quick start product template and manual build approaches. Product testing time is also significantly reduced because insurers only need to test their deviations, rather than the complete product definition. ProductAuthority automatically provides the loss costs and rules received from ERC, which provides greater accuracy, minimizes the risk of non-compliance, and allows faster implementation of rates, enabling insurers to get new or niche products to market sooner without a lot of rework by leveraging ISO products.
In a recent research report published by Novarica(2), the approximate cost for the resources needed, work effort involved, and average fully loaded costs per resource show that an ISO circular that results in a form change and a rate change requiring a filing costs approx. $ 135,000. The most expensive portion of the process is the analysis and the system update is a close second.
âSpeed to market for product changes is one of the major drivers of insurer IT strategies, and carriers in need of a cost effective solution in this area are looking at prioritizing replacing just the product management component of their complex legacy core systems rather than moving ahead with a full replacement strategy,â said Matthew Josefowicz, director and head of the insurance practice, Novarica. âSolutions like ProductAuthority, which integrate pre-populated ISO Electronic Rating Content, are likely to be attractive to these insurers."
According to Karen Furtado, partner, Strategy Meets Action, âBy moving quickly to create a sophisticated, automated approach geared expressly for the direct integration of ISO Electronic Rating Content, Camilion is first to market with a solution that uses product configuration technology to create a powerful new approach to the management of ISO content in concert with the entire product design and management function. The ability to automatically import the loss costs and rules received from ISO into Authority Suite and ProductAuthority will position insurers to meet time-to-market demands with a more cost effective approach than has ever been possible in the past.â
âWe saw an opportunity within the market to provide commercial and personal lines insurers with a new automated approach to simplify the handling of ISO circulars, implement rate changes faster, stay more current with ISO revisions, and accelerate time to market,â said Ross Orrett, Camilionâs president and CEO. âWith the ability to directly import ISO Electronic Rating Content, insurers can now gain the flexibility and self-sufficiency to easily customize or tailor ISO and company specific products on the fly with no vendor dependency. As a system-agnostic product management solution that can feed any policy admin system with pre-populated ISO content, ProductAuthority enables insurers to stay-up-date with ISO revisions, automate manual processes, mitigate risk and reduce costs.â