Issue 2003-37:   September 16, 2003

This newsletter is for members of the Canadian Insurance Industry, and those who serve it. The newsletter is published weekly, and notes information mostly about the use of the Internet and related technologies in the industry. Some is international, where we feel it is relevant to Canada.

Claims

Accident Support Services Provides Electronic Collision Reporting.

Accident Support Services International Ltd. announces the arrival of a web-based Collision Reporting and Occurrence Management System (CROMS). CROMS revolutionizes the collision reporting process for our member insurers with the ability to capture the entire police report electronically. Along with photos and third party reports, the entire package will be delivered electronically, by email, fax, or an XML feed right to your system. Faster reporting and better quality data will improve insurer's ability to manage claims.

Data Fuels our Business: by Doug Grant CIP.

Data is the core of your business, and mine. Data feeds our financial reporting and our payrolls. Good customer data help us provide the level of service our customers demand while feeding cross-selling tactics. Marketplace and demographic data help us replace lost customers and grow the business. In insurance, data is the heart of the product, for product features and prices are based on historical data. Everywhere we turn, we are gathering, validating, storing, managing, analysing, using data to help meet objectives. Like any resource, it is not how much data we have, but how we use it that counts.

CSC Introduces Software to Help Combat Insurance Fraud.

Computer Sciences Corporation introduced its @First product, the first comprehensive software tool for early detection of potential claims fraud in the property and casualty (P&C) insurance industry. Insurance fraud of all types costs the average American household more than $5,000 a year in the form of higher premiums and prices for goods and services, according to Conning and Company, a national publisher of insurance industry research.

CSIO Insurance Portal Status Update

Week ending September 5: CSIO is working diligently with several organizations to get the next set of functions going as soon as possible. We are all anticipating several concrete indications of progress imminently.

Reference and Statistics

IBC Perspective, September 2003: Coping with Uncertainty.

The goal of auto insurance reform discussions currently underway in most provinces is to bring down future claims costs enough to allow prices to fall. In some provinces auto insurance prices are already heading south. Longer term, however, many problems will be exacerbated or will reappear because of increased regulatory intervention. Auto insurance is an unsatisfying market for most insurance companies, generating persistent weak financial results.

Canadian Economic Outlook, August 2003: SwissRe.

Recent indicators have generally disappointed in July, but still point toward moderate growth. Canadian long-term interest rates will continue to trend higher throughout the year.

Business of Insurance

Industrial Alliance and FundEX Investments consolidate their partnership in order to accelerate their growth in the mutual funds sector.

Industrial Alliance Insurance and Financial Services Inc. and FundEX Investments Inc. announced an agreement today under which Industrial Alliance will increase its ownership of FundEX from 25% to 75%. This transaction follows an initial agreement announced by the two companies in June 2002 under which Industrial Alliance acquired 25% of FundEX shares.

Distribution

Progressive Receives Top Honors From National Insurance Agents Organization.

The National Association of Professional Insurance Agents (PIA) has named the Progressive group of insurance companies as recipient of its prestigious National Company Award for Excellence for 2003. PIA presents the award annually to the company that furthers the interests of and creates a better business environment for independent insurance agents.

Training and Skills

The IIC announces two new on-line services: Member Information and Student History.

A member or student can view his or her own personal data, simply by clicking on the Students or Member Services sections of our site (www.iic-iac.org), and then on "Member Information". A member or student can view his or her student history, simply by clicking on the Students or Member Services section of our site (www.iic-iac.org), and then on "Student History".

Managing Relationships and Customer Service

Email Management in European Financial Services: Leveraging Incoming: by Celent.

The tremendous growth in volume and popularity of incoming email has created new challenges and heightened needs for tools that will create greater efficiency and productivity. In a new report, "Email Management in European Financial Services," Celent analyzes the current state of the email management in the European banking industry.

Consumer Information

Car insurance - Price isn't everything; You only get what you pay for, and you get a lot more in Ontario: IBC.

The insurance industry, in anticipation of an announcement from the Consumers' Association of Canada on auto insurance rates in Ontario, is cautioning consumers to consider claims paid as well as premiums. Insurers maintain that auto insurance in Ontario delivers more to consumers with claims payouts that far exceed the levels seen in any province with public auto insurance.

Canadians Concerned About Young Drivers Despite Decrease in Youth-Related Casualties, Poll by TIRF, Toyota Grant.

The majority of Canadians believe that young drivers pose a road hazard and support greater efforts to ensure their safety, according to a survey by a leading traffic safety research organization. TIRF will be undertaking a three-year comprehensive study of young driver risk factors, thanks to a half-million dollar grant by Toyota Canada Inc.

Maritime Life donates $10,000 to help victims of forest fires in Western Canada.

Maritime Life, on behalf of its employees across Canada, has donated $10,000 to the Canadian Red Cross to help residents of communities in Alberta and British Columbia affected by this summer's severe forest fires.

Sun Life Financial to continue Clarica organ and tissue donations program.

Sun Life Assurance Company of Canada, a member of the Sun Life Financial group of companies, today announced that it would continue for the third consecutive year the Clarica annual organ and tissue donation grant program and is seeking proposals that would have a positive impact on encouraging donations in Canadian hospitals.

Odd-ball Item

Amaznig !!!

Aoccdrnig to a rscheearch at Cmabrigde Uinervtisy, it deosn't mttaerin waht oredr the ltteers in a wrod are, the olny iprmoetnt thing is taht the frist and lsat ltteer be at the rghit pclae. The rset can be a total mses and you can sitll raed it wouthit a porbelm.Tihs is bcuseae the huamn mnid deos not raed ervey lteter by istlef, but the wrod as a wlohe.

from Doug:

Attended our son's high school awards ceremony recently, for grades ten through twelve (grads received their awards in June). Although the school is focused on university preparation, it was encouraging to hear their message about "effort". With two months until Ontario university applications are due, our son has some decisions to make - where has the time gone? This evening, parents follow their son's two day school class agenda to briefly hear about curriculum and meet teachers - should be interesting.