In order to manage insurance renewals, risk managers inside a company need to collect, organize, and deliver a complex collection of information to brokers. The more complete this information is, the better job that both brokers and company decision makers can do in evaluating offers and selecting the right coverage limits. Managing all of this data the old-fashioned way, by using spreadsheets and emails to both internal and external parties, becomes a huge task. In the opinion of some risk managers, it is even a nightmare.
Besides being difficult and inefficient, presenting renewal information with a series of unrelated spreadsheets is not likely to give insurance brokers the best data to do their jobs. That is, of course, finding your company the right coverage at the right price. The larger your company is, the more likely it is that data will be incomplete or even in error if you are relying upon input from a variety of different data sources.
What Information do Brokers Require for Commercial Insurance Renewals?
These are examples of the type of information that brokers will require in order to help you manage renewals and shop around for alternative coverage:
- Property valuations
- Risk exposure and potential hazards
- Prior incidents and insurance claims
- Types of business and changes to business
Compiling all of this data, from property valuations to the changes in a way a company may have done business over the previous year, can be a tremendously laborious task. Worse than that, if data gets collected from multiple surveys and a variety of distributed data sources before getting entered into spreadsheets, there are plenty of opportunities for errors. Plus, this type of data collection method is tough to audit.
The Broker Renewal Information Solution
The solution for insurance renewal data collection is an RMIS, or risk management information system software. Rather than sending out spreadsheet questionnaires, renewal managers can develop simple online questionnaires that that offer simple forms to fill out and integrate directly into the system. As an example, currencies for a global company can automatically get converted into your home currency, and this removes a time-consuming manual step and the opportunity to make another error.
Meanwhile, data for things like safety incidents and property values should get updated all year long, so there should be no need for a mad dash to collect the information at renewal time.
Potential benefits of using an RMIS for renewal data collection:
- Saves time and improves quality: Improved questionnaires and integrated data collection methods reduce manual effort and improve results.
- Better negotiating position:A variety of reports provide clear information for brokers, underwriters, and risk managers, so it is easier to support a negotiating position.
- Potential premium savings and improved coverage terms: Better data leads to selecting the right levels of coverage and negotiating the best prices and terms.
At Ventiv Technology, the RMIS vendor leaders, we understand how laborious and error prone the traditional insurance renewal processes can be. We also know that risk management consultants advise their clients to develop a comprehensive renewal strategy in order to ensure better coverage and better prices through an improved negotiating position. An RMIS makes your renewal strategy a seamless part of the process.
Download our free guide to optimizing the insurance renewal process here, and let us know if you have any questions.
