How would Blocksure OS deal with a complex commercial combined policy
Tim Taylor asked Blocksure
So are you suggesting doing away with bulked or blocked data and settling each transaction individually each with its own set of delinked transactions? What about when you have something like a commercial combined policy that has separate sections each with different carriers — they would each need separate access to a subset of the data?
Here is how it would work
1. Surelink, and
2. Policy Store
Surelink enables the execution of insurance contracts and real-time data transfer across all relevant parties. The smart policy is one feature and would be set up to replicate the sections of the commercial combined policy. The commercial combined policy would be treated as an umbrella policy with sub-sections below it — Just as it currently is. The policy would then execute in line with the covers a customer took out.
Each insurer would receive their own transactional data for the relevant policy sections that they are on cover for e.g.: -
1. A customer takes out a commercial combined policy with a broker and pays a premium of £10,000. He opts for 11 sections of the policy: -
All premiums and commission numbers are for demonstration purposes
2. Each section is reported to the relevant insurer as a separate entry as part of a real time “bordereau” process much the same as it happens now.
3. The payment is then made by the customer and the insurers will receive the amounts shown from the broker. The payment will be set against a specific policy and not as a bulk payment.
4. No need to complete Separate bordereaux for each insurer as Surelink will complete this for every insurer involved in a policy. Insurers and brokers will only see data that is relevant to them and they will not be able to see, or access, data for other insurers
5. Mid-term adjustments and cancellations will also be notified in the same way.
6. A MGA can also be added into the process and Surelink will be able to deal with this. The MGA link is an additional piece of programming in the Smart Policy to enable the commission splits to an extra party and provide straight through processing.
So, the commercial combined policy will execute as it currently does and the only real change is that the information processing and transfer of data will happen real time across all the relevant parties. They will receive all the information they currently do but without the manual processing, errors and costs.