Norwich Union is set to launch its e-broking online personal lines service for brokers. Broker Mark Coffer takes a sneak previewof the system
Last year, Norwich Union (NU) began testing an innovative online system for providing policy documents, quotes and other details for its personal lines products. One of the pilot brokers for the e-broking system is Southend's Primo Insurance Brokers.
I met up with Primo's Paul Kirby in Southend to take a look at it in action. Would it be useful for my company? Certainly the idea is attractive, but can it really work?
The epitome of calm, Kirby took me through as much of the system as he could from his PC. This was only marginally hampered by the fact that, when we applied for access, the NU file server was unresponsive. Kirby deduced there was a server error.
Deprived of a live demonstration, I interrogated Kirby. How long had they had NU online to play with? Who, beside himself, used it? What were the benefits of such a system and how could it be improved?
Primo was given the facility to pilot in December of last year. I spied a user manual produced by NU that was dated July 2001, so presumably, Primo was one of the last pilots or NU had used an indifferent printing service.
System crash
The idea of an internet link to the NU website was that intermediaries could log on to the site, input their unique PIN number and access information about their NU personal lines clients. Furthermore, they can carry out mid-term adjustments, with NU processing the premium amendments from online data sent by the broker.
Fab. Just one teensy problem - the site server was down, and while this was not nearly as common a problem as it apparently had been in previous months, when the system crashed, it was not going to assist Kirby in getting through his daily chores.
He dialled back in at noon to find the system fully functional.
Complaint 1 - NU never tells users when the site is working again, even if they know that a user called the online helpline to verify a system crash in the first place.
Complaint 2 - NU never tells users anything. Kirby logged on a couple of weeks ago to discover a completely different format, menu and layout for the site, so different in fact, he had to telephone the helpline for advice on how to locate the access button.
Adjustment confirmed
Kirby said he had always feared the service could be under-resourced and we both agreed the ability of any computer techie to communicate outside of binary notation was a long lost art.
However, it seemed to me if Norwich Union wanted some input, it would be well advised to give feedback to those upon whom it relied.
Once logged on, I was able to see the advantages of such a facility. Here was Kirby accessing his NU clients online; he could change vehicles, addresses, drivers and many other elements of the risk, and have any premium adjustment confirmed instantly. Paperwork was then printed off at point of sale and the premium adjustment processed by NU on its account automatically.
The advantages of an online system are there is no growing old waiting for someone at NU to pick up the phone, and the documentation is accurate because it is processed by the intermediary, not some stressed keyboard operator in Birmingham or Cleethorpes. This means being able to get rid of the file immediately - bliss.
The adjustment, when done, shows the identity or reference of the NU processor beside each entry on Paul's screen, which is a distinct advantage as the case can be tracked to the individual involved if necessary.
But wait. What cannot be done on this super system? Well quite a lot actually. First, you cannot track claims, although I think that this must already be a priority development by NU.
Second, while the system flags terms on a replacement car, such as an additional excess, the example we discovered didn't actually show the excess amount, a bit of a blow if the punter is waiting in your office and also a no-no under General Insurance Standards Council (GISC) regulations.
Adjustments cannot be backdated by more than five days (prudent?) or forward dated by more than 14 days (due to future rate changes?).
There are limitations to the system, however. The facility really applies only to motor and household products thus far and, in my opinion, claims information is vital. It would also be nice to be able to print off a duplicate certificate, as currently, the system will not allow this.
Current requirements
In time, however, I can see the online system as the adopted practise for all switched-on intermediaries.
It cuts out the middleman, (it's about time a broker was able to say that) and gives the intermediary the ability to produce insurer documentation and change the underwriters' database at the same time without waiting for days, weeks or even months for underwriters to cough up the goods.
Kirby is the only real user of the system at Primo. I suspect that when all the bugs are ironed out and NU forego the current requirement to have the pin numbers every individual user is allocated, changed every
25 days, this situation will alter. I for one look forward to that day.
NU's view of e-broking
With the growth of e-business, Norwich Union developed e-broking to provide a new technology solution for brokers.
The system gives brokers direct access to NU's policy administration system for personal lines business over the internet, enabling them to manage their customers' policies online. The aim is to provide a more streamlined link between insurer and broker and, ultimately, a faster, more efficient service.
We launched our e-broking pilot in July 2001 and, as with any new technology, we experienced some early teething troubles. Many of these initial problems have now been resolved and feedback from our pilot brokers - including Primo - has been largely favourable. However, we continue to seek feedback from those using the system; we hold regular review sessions, there are online feedback forms, and we have commissioned an independent market research agency to gather feedback on our behalf.
Obviously, it will take time for the full benefits of e-broking to be realised, and we will be delivering new services incrementally as we learn more from broker feedback. In the meantime, the system is only available to approximately 70 of our key partners. Following discussions with a number of our pilot brokers, we have identified the need to develop a claims tracking facility and work is already underway. Other initiatives currently in development include a direct link to the DVLA to speed up the policy adjustment process and the printing of duplicate certificates.
When dealing with sensitive customer data, computer security is of paramount importance and access for each individual user must be password secure. Unfortunately, this means complex PIN numbers and regular updates are essential to combat fraud and hacking.
Norwich Union has invested heavily in e-broking to support our broker partners. We recognise that there is still work to be done to maximise the system's potential, and it will take time to fully develop and roll-out. However, feedback from the pilot has shown that brokers value the benefits that e-broking brings, and we believe this will become an increasing part of the way we do business over the next few years.
