I further believe that some will be achieving collection of this data via the monthly bordereaux declaration, others via separate declaration requests sent out regularly to brokers and Coverholders, some perhaps a combination of the two. I wonder if (dare one whisper it) some have not quite got around to doing it at all yet…
So, how is this process going for you?
I think we can all agree that there are clearly market-wide issues in collecting and collating this data, recognised by Lloyd’s itself, and cross market solutions to the issues presented continue to be put on the table, for further discussion.
As a consequence, I suspect that it may actually be some time before this particular project moves from the development stage to the “business as usual” stage.
Notwithstanding these teething issues, what do we think Managing Agents should actually be doing with the MI, once they have received it?
In some ways, I think answering this question may actually be the key to unlocking the whole problem, as once Managing Agents know what exactly they are aiming for, the journey to their destination should become clearer.
So, what are you aiming for? In an ideal world (where we have exactly what we want, it’s in the right place and, most importantly, is accurate), I believe good MI should be able to show:
a) patterns of sales and distribution, including any notable variances outside expected norms.
b) patterns of post-sale satisfaction (cancellation rates, lapse rates, document issuance, speed of response, speed of claims settlement, feedback responses and, of course, must importantly, levels of complaints), again, including any notable variances outside expected norms.
Fairly straightforward on the face of it, however, there is one important variable in both examples, which needs to be addressed before doing anything. That is, of course, the phrase ‘expected norms‘.
I would be interested to hear your thoughts, but will give some of mine in our next blog, What should we be looking for in our Conduct Risk MI (keep reading…..!)
Marcus Elwes
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