Manual processes are a thing of the past: Producer lifecycle and credential management for insurance
Let’s be honest—it can be difficult to juggle everything going on in both our personal and professional lives. We use calendars to coordinate the kids’ after school activities and our coworkers’ meeting schedules. Organization is critical to making sure that nothing falls through the cracks. You wouldn’t want to forget to pick up your little girl from soccer practice, and you wouldn’t want to forget to attend the weekly staff meeting. But what about coordinating things that are a bit more complex?
You work for an insurance company, and you need to maintain a holistic view of your agents. But keeping the family on schedule looks like a cakewalk compared to managing producer and agent lifecycle events and credentialing processes. To manage all of the most important administrative functions, you will need more sophisticated technology to provide the same level of visibility. Insurance software can provide you with an out-of-the-box solution that will streamline processes, improve operational efficiency and make the compliance process easier. What are the benefits of leveraging an end-to-end solution for insurance?
Manual processes are a thing of the past
You no longer have to live with manual processes like Excel spreadsheets for credential management or commission management. Did you know that 33 percent of carriers still use Excel or other manual processes as part of their commission process? It should come as no surprise that these carriers consistently report that accurate calculations are a significant challenge. Manual processes are notoriously error-prone. An alarming 88 percent of spreadsheets suffer from some type of error.
The last thing parents want is for their child to be called into the principal’s office. As an insurance professional, the last thing you would want is for your company to face regulatory fines due to compliance violations. In fact, compliance issues are extremely important to 72.7 percent of insurance carriers. That includes validating licenses and ensuring that all documentation is filed appropriately. Maintaining consistency in ensuring licensing and appointment helps insurers avoid market conduct fines. IBM's Producer Lifecycle and Credential Management for Insurance actually offers “tight integration of your business processes with key regulators, including the National Insurance Producer Registry (NIPR), the Financial Regulatory Authority (FINRA), and the Depository Trust and Clearing Corporation (DTCC)” from onboarding to incentive compensation payment.
Competitive advantage is the way forward
When our kids ask us for advice on how to improve in competitive sports, we tell them to practice their essential skills. We tell them to work on their three pointers, their goal kicks or their serves. But how can insurance companies become more competitive in the marketplace? One of the key ways to gain a competitive advantage in almost any industry is to improve operational efficiencies, which saves time and money. However, fewer than half of insurance carriers have automated their major processes. Those processes include processing appointments, validating licenses and providing self-service to distributors. With more than half of insurance carriers still relying on manual processes, automation is a clear strategic differentiator.
What you can do with Producer Lifecycle and Credential Management for Insurance
How can insurance software help insurers improve visibility, agility and the effectiveness of administrative functions? IBM's Producer Lifecycle and Credential Management for Insurance provides insurers with a comprehensive, end-to-end solution for producer administration and credential validation. Visit the solution page to discover the key capabilities for credential management, including:
- Viewing and editing producer credentials
- Keeping track of contracts, lines of authority, credentials, pending appointments and more
- Seeing an agent’s license number, if they are active and particular products they are licensed to sell by state
- Viewing important alerts for a producer such as license, education or errors and omissions (E&O) expiration so action can be taken to maintain credentials
IBM's Producer Lifecycle and Credential Management for Insurance can be used to “retain high performing producers, increase sales productivity, align producer behavior with goals, increase organizational agility, improve visibility and insight, reduce errors and cycle time and meet compliance requirements and accurately pay the producers.” Credential management and compensation management may be complicated, but with IBM’s insurance software solution, the process becomes much more streamlined, logical and easy for everyone involved. That means less time you have to spend pulling, organizing and verifying the accuracy of your information and more time actually doing your job. Request a complimentary, customized workshop that will teach your company how leading insurers are driving distribution optimization and how to address your most pressing pain points.