Insurance Networking News: Executive Strategies for Technology Management articles from October 2003

Insurance Networking News: Executive Strategies for Technology Management archives from October 2003

Carriers Thwart Attacks From Spammers.
October 1, 2003... CNA Financial Corp. received about 4.5 million inbound e-mails in August. An estimated 1.5 million to 2 million of those were unsolicited commercial electronic messages, otherwise known as "spam." During any given 24-hour period, the insurance...

Above & Beyond The Call.(PMA Insurance Group)
October 1, 2003... When the call arrived at PMA Insurance Group's customer contact center in Allentown, Pa., it was unlike most of the in-bound inquiries normally fielded at the sprawling facility. "The agents at our contact center assist injured workers...

Copyright Litigation: Vendor Wins Software Infringement Case.
October 1, 2003... In a California intellectual property lawsuit that could have sweeping implications over the way insurers and vendors approach software licensing agreements, a federal judge in late August granted a preliminary injunction barring San...

INN Focus.(Brief Article)
October 1, 2003... At Issue: A federal judge granted a preliminary injunction barring Arrowhead General Insurance Agency from using insurance pricing software developed by Westbourne International Inc. A federal jury in early August had awarded Westbourne...

Privacy Legislation: House Approves Bill To Prevent Identity Theft.
October 1, 2003... Privacy advocates will have to pin their hopes on Senate Banking Committee Chairman Richard Shelby, R-Ala., if they want to see national privacy standards enhanced through legislation extending provisions of the federal Fair Credit Reporting...

Calendar.
October 1, 2003... Enterprise Risk Management Sponsor: Risk and Insurance Management Society When: Oct. 9-10 Where: The Center Club, Costa Mesa, Calif. www.rims.org CPCU Society's 59th Annual Meeting When: Oct. 11-14 Where: New Orleans...

Credit Scoring: Congress, NAIC Address Credit Scoring Controversy.
October 1, 2003... Advocates of the use of credit scores in personal lines underwriting and rating could be excused if they are feeling a bit under siege lately. The industry has been generally pleased with the actions of state legislatures that have...

Product Previews.
October 1, 2003... Business Process Integration Metaserver Inc., a New Haven, Conn.-based developer of business process integration software, has released Metaserver 4.5. The release includes new functionality, developed as the result of customer and partner...

Business Alliances.
October 1, 2003... InsuranceNoodle Offers CNA Products Chicago-based InsuranceNoodle will offer CNA's business account package policy (BAPP), commercial auto, and workers' compensation products to the more than 3,800 independent commercial agencies who use...

Contracts.
October 1, 2003... The Contracts Update section includes announcements of contracts insurance information technology companies have signed with customers in recent weeks. Contract news can be faxed to Insurance Networking magazine at (312) 913-1366 or by...

INN Focus.(Acordia Inc.)(Brief Article)
October 1, 2003... The Deals: Acordia Inc., the insurance agency arm of Wells Fargo & Co., recently acquired four agencies in three states. The Market: Wells Fargo's insurance revenues-including Acordia as well as personal lines, life insurance, and...

Banking & Insurance: Wells Fargo Banking On Insurance Growth.
October 1, 2003... Acordia Inc., the insurance agency arm of Wells Fargo & Co., sent a clear message in September that its integration with Wells Fargo is complete and it is once again an active buyer of agencies. Last month, Acordia announced three deals for...

Technology Spending: IT Budgets Reflect Priorities, Needs.(Brief Article)
October 1, 2003... Across all industries, technology spending is beginning to rebound. A recent survey of more than 150 IT executives by AberdeenGroup found that 87% plan to adjust their IT budgets during the next 6 to 12 months. The average change in IT budgets...

Aon Gets Aggressive In Pursuit Of Workplace Violence: The brokerage, consulting and underwriting company has aligned itself with the Center for Aggression Management.
October 1, 2003... Insurers long ago developed tools to perform risk modeling for natural disasters such as floods, hurricanes and tornadoes. But Aon Corp. has launched a different kind of venture to help its clients reduce workplace violence. Realizing the...

Providence Washington Charts Its E-Commerce Destiny.
October 1, 2003... The New England insurer is providing real-time processing to its agents and shifting its IT dollars from legacy maintenance to technologies that will take it into the future. The Providence Insurance Co. inaugurated the insurance agency...

INN Focus.(Brief Article)
October 1, 2003... The problem: Providence Washington was restricted in implementing its e-commerce strategy by inflexible legacy systems and cumbersome manual processes. The solution: By implementing business process integration software, business...

Providence Washington's E-Commerce Toolkit.(Brief Article)
October 1, 2003... Vendor Technology Tool Computer Sciences Corp.r Rating engine ILOG Quoting engine (eligibility, risk assessment, pricing); new business routing, workflow; claims (future); financial (future) ...

The cost of dirty data.(Brief Article)
October 1, 2003... Poor quality customer data costs U.S. businesses a staggering $611 billion per year in postage, printing and staff overhead. Consider the example of an insurance company that receives 2 million claims per month with 377 data elements per...

The Industry Standard for Consistent Data.(Brief Article)
October 1, 2003... Historically, data management and data quality have been internal issues within an organization. But the world has changed with so much electronic data interchange occurring between business partners, says Mele Fuller, interface architect at...

A Call to Arms.
October 1, 2003... In 2001, PMA Insurance Group relocated its call center from Blue Bell, a suburb of Philadelphia, to a new facility in Allentown. But the move was more than geographic. It was a call to arms for PMA to reassess some of its long-time practices...

Channel Strategies Aren't Automatic.
October 1, 2003... As insurers move more contact center activities to more channels, they must determine if a Web site, e-mail or interactive voice response (IVR) system can replicate what a customer can accomplish when accessing live support. There are...

e.Business Briefs.
October 1, 2003... Online Employee Enrollment Hartford, Conn.-based Aetna has launched Aetna Employee Self Service, a Web site powered by Aetna EZLink, the company's Web-based benefits administration and online billing solution. Aetna Employee Self Service...

Anti-spam tips from experts.(Brief Article)
October 1, 2003... Kristin Potts, director of marketing, Postini Corp., advises insurers to: * Secure the enterprise e-mail network at the perimeter. This protects e-mail addresses from being stolen through a technique called directory harvest attacks. Once...

Countrywide's 'Organic' IT Culture.(Interview)
October 1, 2003... Countrywide Financial is considered by many industry experts to be a leader in implementing new technologies. Richard Jones, managing director and CIO, explains the importance of aligning business and technology. INN: Explain why...

Richard Kenneth Jones.(Brief Article)
October 1, 2003... Education: Computer science, University of Waterloo, Ontario, Canada. Experience: November 2000 to present Managing director and chief information officer, Countrywide Financial Corp., Calabasas, Calif. 1998 to 2000...

Where Supply Meets Demand.
October 29, 2003... Why would a company's separate business units buy goods and services independently if centralizing procurement can produce volume savings that go directly to the bottom line? Why would a company route paper requisitions for approvals when they...

Insurers Turn To Online Exchanges.
October 29, 2003... When executive recruiters at Los Angeles-based Farmers Insurance Group need to fill a vacant position, posting a print version of a job opening to attract prime candidates is regarded as an option-albeit an increasingly obsolete one. Call...

A Dynamic Duo: IT And Business.(Interview)
October 29, 2003... When John W. Hayden went off to the Massachusetts Institute of Technology for a president's symposium on technology in 1999, a professional epiphany wasn't on his personal radar screen. The president, chairman and CEO of American Modern...

Self-Service Shouldn't Imply Issuing Policies Yourself.
October 29, 2003... Customer service. Delivering on promises. Using Web-based technologies to improve the customer experience. Carriers tell us that this is how they're differentiating themselves from the competition. But is it only lip service? Here's my own...

Web Services: INN FocusSecurity The Main Obstacle To Widespread Adoption.
October 29, 2003... The term "Web service" was coined only three years ago, according to Celent Commu-nications Inc. And, already, U.S. insurers are spending roughly $78 million-or 5% of their integration dollars-on Web services-related initiatives (see "Web...

INN Focus.
October 29, 2003... The problem: Open standards-based Web services promise to greatly simplify application integration, but the technology also exposes companies to new security risks. The solution: Vendors are beginning to provide products designed...

Telemarketing: Insurers Brace For Do Not Call Compliance.
October 29, 2003... One of the core activities regularly performed by insurers-its telemarketing efforts-is about to undergo modifications now that the federal Do Not Call (DNC) list has been given the green light for national enforcement. In October, a...

At A Glance.(Brief Article)
October 29, 2003... At Issue: A federal appeals court ruled that Do Not Call registry-a list that currently includes about 50 million phone numbers-was within the legal boundaries of the Federal Trade Commission and the Federal Communications Commission. ...

Calendar.(Brief Article)(Calendar)
October 29, 2003... NASP 2003 Conference Sponsor: National Association of Subrogation Professionals When: Nov. 2-5 Where: Reno Hilton, Reno, Nev. www.subrogation.org ISOTech 2003 Sponsor: Insurance Services Office Inc. When: Nov. 2-4 ...

Mergers & Acquisitions: Hancock/Manulife Merger: Let The Dealing Begin.
October 29, 2003... After a prolonged lull in activity, consolidation in the insurance industry-marked by a new wave of proposed mergers and divestitures-appears to be gathering newfound momentum, with two major developments illustrating the potential changes that...

Product Previews.
October 29, 2003... Web Self-Service Transactions Atlanta-based DWL Inc. has released the latest version of DWL Unifi, a Java-based framework that provides a consistent architecture and design for developing real-time transactional business services. DWL...

Legislation: New Bill Caps Carriers' Asbestos Liability Exposure.
October 29, 2003... Rising somewhat like the Phoenix, an alternative bill that would provide compensation for workers injured by exposure to asbestos clawed its way through Congress in mid-October. Accepting a proposal drafted by Senate Majority Leader William...

Contracts.
October 29, 2003... The Contracts Update section includes announcements of contracts insurance information technology companies have signed with customers in recent weeks. Contract news can be faxed to Insurance Networking News magazine at (312) 913-1366 or by...

Business Alliances.
October 29, 2003... Applications For Banks And Insurers Bermuda-based Accenture and SAP AG, Walldorf, Germany, have signed an agreement to develop and deliver information technology solutions for banks and insurance companies worldwide. Together, the two...

Build vs. Buy: CRM Strategies At A Crossroads.(customer relationship management)(Brief article)
October 29, 2003... The insurance industry has been characterized as an early adopter of customer relationship management (CRM) tools. But sporadic results that carriers have achieved are influencing future decisions on CRM spending and whether to internally...

The Best Laid Plans For CRM.
October 29, 2003... CRM has received a bad rap in the insurance industry. But new research suggests those organizations that implement benchmarking studies and best practices will reap a quick-and substantial-return on investment. Five years ago, customer...

CRM Benefits.(Brief Article)(Illustration)
October 29, 2003... Category Yes(%) No(%) Average Increase(%) Sales 73.9 26.1 35 Service/contact center 74.4 25.6 31 Marketing...

Emphasis On Support, Speed Satisfies Midwest Family's Agents: Midwest Family Mutual is building a solid reputation with independent agents thanks to a Web-based policy processing solution that's winning high praise.
October 29, 2003... Insurance agents and carriers both know that capturing new business centers around offering fair and competitive prices. Most understand that pulling in customers also hinges on the ability to issue coverage swiftly and accurately. Paul...

INN Focus.(Brief Article)
October 29, 2003... Case Study: Midwest Family Mutual Insurance Co. At Issue: The carrier had an antiquated system for processing policies. It typically took 12 to 30 days to issue new policies. The Solution: Midwest Family implemented...

Intrusion Detection Keeps A Watchful Eye On Pru's Network.
October 29, 2003... With 56% of U.S. corporations reporting unauthorized use of their computer systems, companies such as Prudential Financial are investing in leading-edge security technologies to mitigate their risk of attack and abuse. Forty years ago,...

At A Glance: American Modern Insurance Group Inc.(Brief Article)
October 29, 2003... Headquarters: Amelia, Ohio Employees: 1,200 Revenue: $637 million in 2002 Written Premium: Estimated $750 million in 2003 Major Business Lines: Personal lines insurance products for manufactured homes, motorcycles, watercraft,...

American Modern's success starts with IT.(Brief Article)
October 29, 2003... Information technology strategy plays a critical role in the success of American Modern Insurance Group Inc. (AMIG), a wholly owned subsidiary of The Midland Co., Amelia, Ohio. The provider of specialty personal lines insurance products has...

E-Procurement Pioneer Offers Advice.
October 29, 2003... Boston-based John Hancock Financial Services Inc. was an early adopter of e-procurement and e-sourcing technologies. In 1998, the company implemented an e-procurement solution from iPlanet, which was acquired in 2002 by Santa Clara,...

Single Sign-On For The Hartford's Extranet.(Brief Article)
October 29, 2003... Hartford, Conn.-based The Hartford Financial Services Group has implemented Carrier Passport, a navigation feature that links agents directly from an AMS agency management system into The Hartford's proprietary agent extranet-without the need...

AMS Adds Endorsement Processing To TransactNOW.(Brief Article)
October 29, 2003... AMS Services, Windsor, Conn., has added real-time endorsement processing to TransactNOW. By leveraging the single sign-on features offered through Carrier Passport, agents will be able to transact policy changes with their carriers using...

Self-Service To Kentucky Providers From Anthem.(Brief Article)
October 29, 2003... Anthem Blue Cross and Blue Shield, Indianapolis, has launched secure online tools that offer doctors, hospitals and other healthcare professionals quick and convenient real-time access to patient information. The new capabilities, available on...

Balboa Introduces 'No-Fluids Underwriting'.(Brief Article)
October 29, 2003... Balboa Insurance Group Inc., a subsidiary of Countrywide Financial Corp., Calabasas, Calif., has launched a term life insurance program that eliminates the need for fluid testing during the underwriting process. The Web-based program enables...

Safeco Moves To Single Web-Based Platform.(Brief Article)
October 29, 2003... Seattle-based Safeco Corp. unveiled plans for a single, unified Web-based technology platform that will enable independent distributors to quote and sell all of the company's commercial and personal insurance product lines. A pilot project will...

The Blues Tech Center Launches Web Resource.
October 29, 2003... The Technology Evaluation Center (TEC) of the Chicago-based Blue Cross and Blue Shield Association has launched an Internet resource to provide physicians, consumers and healthcare organizations with scientific assessments of medical devices,...

Pinpointing Pain Points.
October 29, 2003... Many insurers agree that the key to success for many third-party Web platforms attempting to establish solid footing in this industry is to demonstrate how their Web model can produce dramatic efficiencies above those offered offline. At...

Definity Health, Cardtronic Offer Smart Card.(Brief Article)
October 29, 2003... Definity Health, St. Louis Park, Minn., has launched a smart card program through a partnership with Cardtronic of Minneapolis to bring added convenience to members and increased administrative efficiency to providers. Cardtronic's smart card...

Castle Data Services Launches New Site.
October 29, 2003... Salt Lake City, Utah-based Castle Data Services (CDS), a provider of residential replacement cost data, has launched a Web site and nationwide area coverage. An affiliate of Castle Inspection Service Inc., CDS was created to make Castle's...

MetLife's Employee Portal Wins Award.
October 29, 2003... MyBenefits, MetLife's employee benefits portal, received the Web Marketing Association's 2003 Standard of Excellence Web Award. This annual competition judges corporate Web sites against an overall standard of excellence related to design,...

Idaho Blues Launches Customer Web Site.(Brief Article)
October 29, 2003... Following extensive customer and market research, Regence BlueShield of Idaho launched a newly redesigned and engineered Web site at www.id.regence.com. In less than a month, the new site has registered more than 55,000 "hits." The Lewiston,...

Simplifying Insurance Data Conversions.
October 29, 2003... One of the consequences of merger and acquisition activity is that insurers inherit a variety of legacy systems. And, in the case of IT systems, more isn't necessarily better. Duplicate maintenance and system support, disjointed business...

Advertiser Index.(Brief Article)(Illustration)
October 29, 2003... Advertiser Site Addresses Page # CGI www.cgi.com 7 First Data www.firstdata.com 13 IASA www.iasa.org 12 ISO www.iso.com 11 MasterCard www.mastercardmerchant.com/ C2...

Streamlining Retirement Income Planning.
October 29, 2003... Never has the need for retirement planning been as great as it is today. Traditional sources of income such as Social Security and pensions will fail to meet the spending needs of future retirees. These factors portend a market of investors...