Issue 2005-03: January 18, 2005
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.
Policy Management
WebWriter Ocean Cargo Application Keeping Pace with Industry Issues: Insurance Systems Inc.
Insurance Systems Inc. (ISI), a leading provider of web-based solutions to the global property and casualty insurance industry, has announced the release of the 2005 version of WebWriter™ Ocean Cargo.
Phoning It In: Teleunderwriting Comes of Age: Report Published by Celent.
Carriers have experimented with collection of life insurance application data over the phone for years. But why hasn't teleunderwriting really taken off? Changing attitudes and improved technology are poised to eliminate any remaining barriers.
Product Announcements
Markel Insurance Launches Markel FUELogic™.
Markel Insurance Company of Canada, the country's largest and most respected trucking insurance company, today announced the launch of Markel FUELogicTM. The first product of its kind in Canada, Markel FUELogic provides trucking operators the confidence that their businesses are protected from the effects of unpredictable fuel price increases.
eBusiness and Technology
Hyland Software And BISYS® Form Strategic Business Alliance.
CLEVELAND – January 4, 2005 – Hyland Software, Inc., developer of the OnBase® enterprise content management (ECM) software suite, and BISYS, a leading provider of outsourcing solutions for the financial services sector, today announced the formation of a strategic alliance, positioning OnBase as one of BISYS' preferred enterprise content management solutions.
IBM pledges 500 patents to support open source.
11 January 2005 -- IBM has pledged open access to key innovations covered by 500 IBM software patents to people and groups working on open source software. The pledge applies to any individual, community, or company working on or using software that meets the Open Source Initiative (OSI) definition of open source software.
Consumer Information
Manitoba Public Insurance's Top Five Frauds for 2004.
In its ongoing efforts to battle auto insurance fraud and enhance awareness of this crime, Manitoba Public Insurance has released its Top Five Frauds which passed through the courts last year.
CSIO Insurance Portal Status Update
Week ending January 14 : the number of brokers integrated to the portal increased by two last week to 138.
Distribution
CIBC becomes the first Canadian bank to offer access to online comparison shopping for automobile and property insurance in Alberta and Ontario.
CIBC clients and other online visitors to CIBC's Website at www.cibc.com can now link directly to comparison-shopping for automobile and property insurance from competing insurance providers in Alberta and Ontario. CIBC is the first Canadian bank to offer access to an independent online automobile and property insurance shopping tool, which is powered by Kanetix, Canada's Insurance Marketplace.
Two new customers join Kinnect.
Kinnect, the electronic system for securely exchanging risk data and wordings between brokers and underwriters, has extended its reach into the Lloyd's market by signing up two new customers. Managing agent Hiscox has now joined Kinnect, while Liberty Syndicates has pledged its support and will sign contracts shortly. This brings the total number of Kinnect customers to 10.
Worksite executives are concerned about writing profitable business: Eastbridge.
In a recent study by Eastbridge Consulting Group, Inc., The Future of Worksite Marketing: An Executive Perspective (2004), worksite marketing executives said they are optimistic about the future of the worksite/voluntary market. Executives said they expect the market will continue to grow at about 10 percent per year for the next few years. Despite this opportunity, many are concerned about writing profitable worksite business.
Kasina Predicts Key Trends For Asset Managers in 2005.
With competition continuing to increase, the asset management industry will focus on finding new ways of reaching the same pools of assets more efficiently, and on keeping and expanding their key accounts by providing higher, smarter levels of service in 2005, predicts kasina, a leading consultant to the financial services industry.
Marketing and the Market Place
Two-Thirds Of Canadians Have An RRSP: Ipsos-Reid Study.
According to a recent study conducted by Ipsos-Reid on behalf of the RBC Financial Group, sixty-five percent of Canadians currently have an RRSP. Nearly half of Canadians (47%) have or plan to make a contribution to an RRSP for the 2004 taxation year.
Business of Insurance
Conning Research: Successful Small Life Companies Share Key Characteristics.
Most successful small life insurance companies share specific product and performance characteristics giving them an edge among similar and somewhat larger competitors, according to a new study by Conning Research and Consulting, Inc.
From Canadian Insurance ENEWS: Echelon & Canadian Insurance Marketing Complete Reorganization
The amalgamation does not entail any changes to the current operating management, which will continue to be directed by Douglas E. McIntyre, Chief Executive Officer. Co-operators will retain a 43% interest in the amalgamated company, which will carry on business under the EGI moniker.
Lloyd's Chairman warns insurers 2005 will be critical for rebuilding industry's reputation.
A record year of natural disaster losses and Eliot Spitzer's investigations into payment practices highlighted the urgent need for the insurance industry to tackle its reputation and practices during 2005, Lord Levene, Chairman of Lloyd's warned insurers today. Lord Levene said the Spitzer investigation, the Asian Tsunami disaster and the Silverstein court case regarding the disputed policy wordings in the World Trade Center contracts added up to three 'defining events' in 2004 from which the industry must learn.
Claims and Risk Management
From Canadian Insurance ENEWS: Canadian Leadership at the World Conference on Disaster Reduction
The Institute for Catastrophic Loss Reduction announced that Gordon McBean, the ICLR Policy Chair, will be a featured presenter this week at the World Conference on Disaster Reduction in Kobe, Japan. Dr. McBean will address 'Climate Change and Increasing Risks in Urban Areas'.
From Canadian Insurance ENEWS: CASIU Holds Information Session Re: Investigative Status.
Tim Flynn, President of the Canadian Association of Special Investigation Units, in a message to the members, stated that further to receiving investigative status, CASIU will be moving ahead carefully to implement this status within the insurance industry. An information session will be held on January 19th.
IRC Study Finds Fraud and Buildup Add Approximately $5 Billion to Auto Injury Insurance Claims.
January 12, 2005 MALVERN, Pa. - The Insurance Research Council (IRC) estimates in a new report that fraud and buildup added between $4.3 and $5.8 billion to auto injury settlements in 2002, which represents between 11 and 15 percent of all dollars paid for private passenger auto injury insurance claims in that year. This estimate is somewhat lower than in an IRC study of claims paid in 1992.
Insurance in the Community
Travel Underwriters donating $25,000 to the Canadian Red Cross.
Vancouver, BC, January 10, 2005 - Insurance provider Travel Underwriters is supporting South Asian families struck by the recent tsunami through a $25,000 donation to Canadian Red Cross. As a company that insures more than one million trips annually around the world, Travel Underwriters wishes to make a positive contribution to this region.
from Doug:
Nature has this knack of reminding us that parts of our lives will always be interesting, if not challenging. From snowfalls in Vancouver to a record high in Ontario to yet another blizzard in the Maritimes, who knows what will come next.
Do hope you have the new year off to a good start, and whatever Nature has for us, find a way to enjoy it.