NavRisk Case Study
Insurer Transforms business, Increases Efficiency and Customer Satisfaction with NavRisk Policy and NavRisk Central
The Challenge
An insurer operating in the Southeast U.S. provides workers' compensation coverage to all segments of the public entity insurance market place. The insurer extends eligibility to municipalities, counties, special districts, public schools, and charter schools. In 2002, a large multi-line commercial insurance company withdrew from the insurer's geographic market. To help alleviate a major disruption for many of its insureds, the insurer decided to fill the coverage void by giving its insured base an alternative for its multi-line package insurance needs, including property/casualty, auto, professional liability, and general liability. As a result, the insurer had to quickly put a system in place to transform from a mono-line to a multi-line insurance provider.
The Solution
Realizing it could no longer rely on spreadsheets to maintain service standards while supporting a dramatic increase in premium volume, the insurer sought a software solution compatible with its underwriting processes. NavRisk Policy provided a complete rate, quote, and issuance solution, which was fully implemented within six months.
The Results
With NavRisk Policy in place, the insurer nearly doubled its insured base, going from 250 to 430 insureds in the first quarter after implementation. By automating processes that had been performed manually in the past, they became far more efficient, and staffing increases required of such rapid growth were minimal. Three years post implementation, the insurer had increased its premium volume from $30 million to $90 million while dramatically improving service to their insureds, keeping staffing levels and operational costs down, and cutting processing time for issuing policy documents. Four month policy issuance turnarounds were reduced to three months in the first year. They now trend to as low as 30 days.
NavRisk Policy also helped the insurer comply with Sarbanes-Oxley. An auto log saves copies of all transactions, eliminating the risk of data loss with spreadsheets. Improved processing efficiencies saved the company more than 20 percent in overhead costs. And employee morale improved, thanks to the easy-to-use, time-saving system.
Shortly after implementing NavRisk Policy, the insurer added NavRisk Central, a web portal that enables agents and insureds to process quotes and renewals on demand as well as provide online, anytime data access. That access enabled better service and reduced renewal-processing time from four months to 30 days.
In the first year after deploying NavRisk Central, the insurer processed 50 percent of quote applications through the portal. That's now up to 90 percent, with more than 1,000 quotes processed in the most recent renewal cycle. Prior to implementing NavRisk Central, the insurer processed fewer quotes and employed seven processors to work 55-60 hours a week to complete them on time. In the first year of processing renewals through the portal, the same team worked standard work weeks, processed more business, and saved the insurer 70-105 hours a week in overtime pay.
The insurer also increased efficiency by eliminating duplicate data entry efforts. Agents enter data directly into the portal, which is uploaded into NavRisk Policy. No more re-keying. Applications are more complete, and quotes are processed in five days, rather than the 10-14 days required previously. Follow-up correspondence is minimized. Quoting processes are more accurate and consistent. All of this results in better service to agents and insureds and more profitable business for the insurer.
Please click the NavRisk icon below to open the Case Study in PDF format.
If you don't have the Adobe Reader software on your computer, you may download it, free of charge, by clicking here.
