Issue 2004-23:   June 15, 2004

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.

Distribution

Applied Systems Deploys 'ConneXion,' Providing Agents Real-Time Data Interchange with Business Partners.

Applied Systems, Inc., the leading provider of technology solutions for the property and casualty insurance industry, today announced the deployment of Applied ConneXion™, a toolkit providing real-time data interchange with third-party software for its agent and broker customers.

Principal Financial Group launches Web based distribution automation software: Global IQX.

Global IQX Inc., the leader in integrated e-business automation solutions for the group life and health insurance industry, today announced that The Principal Financial Group® has launched phase one of it's web based GPS. This initiative rolled out in five months, will provide cost reductions, while increasing service levels to the respective distribution channels by streamlining the sales and enrolment process of it's group insurance products.

Fidelity Remains the Only Firm to Earn "Excellent" Designation, but Guardian and Armada Funds Among Many to Deliver Big Gains: Dalbar.

Fidelity Investments continues to lead the financial services industry in how to best support their online customers, according to Dalbar's latest quarterly ranking of financial services Web sites. Fidelity's site was the only one of over 200 Web sites evaluated to earn Dalbar's highest honor, the "Excellent" Web site designation.

New Eastbridge Frontline Report Focuses on the Technical Issues Surrounding Alternative Enrollments.

New enrollment alternatives, such as web-based and call center enrollments, are making definite inroads into the industry today. And both producers and carriers are experimenting with ways to minimize costs yet improve the penetration results of these methods. But with these methods come some "new" technical questions.

ACORD Launches New Advantage Web Site; Improves 15,000 Users Access to Forms and Other Services.

ACORD's new Advantage Web site (www.acordadvantage.org), which was launched today at the ACORD LOMA Insurance Systems Forum, will improve ACORD Advantage agents and brokers access to ACORD's products and services. Over 15,000 Advantage users access the site regularly.

CSIO Insurance Portal Status Update

Week ending June 11: Auto rates for the 2005 model year can now technically be quoted on the Portal, where they are available ie as companies determine rates for those vehicles;
The team continues to add brokers to the portal; 37 brokers are now signed up and technically integrated to the portal, but some of those are doing internal training and implementation.

Claims

Castek Licenses ClaimsPath Software to CGI.

Castek Inc. is pleased to announce the completion of a licensing agreement with CGI Group Inc. (CGI). for Castek's ClaimsPath claims management software as part of CGI's claims loss adjustment business services and as an ASP service in the United States and Canada.

Recent recoveries in Ontario highlight the reality of vehicle theft: Boomerang Tracking.

Ontario thieves are taking advantage of the good weather – luckily Boomerang trackers are right behind them! Several recent tracking operations in Ontario were of particular note.

e-Business and Technology

Manulife Financial partners with CGI to build upon Halifax operations by creating the International Systems Development Centre (ISDC).

Manulife Financial has selected CGI Group Inc., among the largest independent information technology and business process services firms in North America, to create an information technology support centre in Halifax. The mission of this centre of expertise will be to provide systems development, maintenance and integration services to Manulife and other CGI clients in the U.S. and Europe.

Software, Consulting and Content Firms Form The Compliance Platform.

Axentis, the leading supplier of Governance, Risk and Compliance (GRC) and Sarbanes-Oxley (SOX) applications, today announced it has joined with several leading software, content and services firms to form the Compliance Consortium (www.thecomplianceconsortium.org).

Business Rules Engine Vendor Evaluations: Reports Published by Celent.

A new study by TowerGroup of some of the nation's top Property & Casualty (P&C) insurers finds that achieving an "enterprise view" of IT strategy, planning, priority-setting and architecture is the next major technology hurdle facing the industry – as well as a critical pathway to achieving competitive advantage.

Managing Relationships and Customer Service

UnumProvident Corporation Selects Solution from DWL to Enhance its Customer Data Integration Initiatives.

DWL, a leading provider of Customer Data Integration (CDI) software, today announced UnumProvident Corporation (UPC) has selected DWL to provide a CDI solution to enable consolidated views of customer and producer information across its multiple lines of business. UnumProvident Corporation will be using DWL Customer™, a leading enterprise customer hub to replace and enhance its existing customer index, thereby providing increased availability to information currently contained in more than 30 business systems.

Business of Insurance

Rating Agencies Drive Change in How Insurers Manage Risk and Capital, According to Tillinghast Survey.

Rating agency demands (71%), financial reporting issues (55%), shifting product preferences (55%) and changes in regulatory requirements (48%) are driving the industry's need for improved risk and capital management practices, according to life insurance company CFOs surveyed by the Tillinghast business of Towers Perrin in its latest CFO Survey.

Consumer Information

Federation Insurance to Stop Writing New Business in Newfoundland

Federation Insurance Company of Canada, a member of The Economical Insurance Group, announced today that it will cease writing new automobile business in the Province of Newfoundland, effective immediately.

Insurance industry launches New Brunswick road safety initiative: IBC

Taking an extra minute to properly adjust the headrest in your vehicle can help prevent injury. That's the message the Insurance Bureau of Canada (IBC) wants to deliver with Rest Up! Save Your Neck, a unique community outreach initiative being rolled out by university students across New Brunswick this summer.

Progressive Survey Finds Rising Gas Prices Changing How Some Americans Drive

The rising price of gasoline is causing some Americans to rethink how much, where, and what they drive according to a recent survey of 1,000 drivers by the Progressive group of insurance companies, the third largest auto insurer in the country.

from Doug:

It is time for a bit of a break, or so says my family. We are headed west, leaving June 21, to drive through the Rockies, cruise to Alaska and spend a couple of final days in Vancouver and Victoria. As a result, and as editor of this newsletter, the newsletter will go into a short hiatus with an issue early the week of June 21, and probably the next one not until the week of July 12, perhaps not on the usual Tuesday. Looking forward to sites we haven't previously seen, and to visits with family and friends.