The Insurance Industry and EDI

The EDI focus in general insurance has previously been centered on the exchange of risk data according to most EDI message standards. Many of these processes reside in legacy systems supported by an ever diminishing knowledge base. With increasing workloads and new industry initiatives and governance, insurers need to free up resources from the day-to-day operation of ever more complex EDI systems and focus on their core business.

The often complex and time consuming product development associated with many initiatives like MyLicence and together with the extensive testing required, can put pressure on internal resources which often times does not have the capacity or dedicated EDI resources in-house. In addition, regulation of the insurance industry is always on the increase with the likes of the FCA and Solvency II, insurers are having to review their third party connections, in terms of security, visibility and audit-ability.

Increasing numbers of insurers are moving to a fully managed EDI service to free up internal staff, however, by doing so they are also bringing many back-door processes under the umbrella of a single managed system, improving the accuracy and efficiency of data exchange.

Moreover, insurance finance departments are increasingly realizing the benefits of other options for the vast array of suppliers that service the claims supply chain. These include glass replacement services, property mitigation, insurance replacement, loss adjusters, as well as medical and legal services. The use of e-invoicing can greatly reduce the cost of accounts payable processes as well greatly improving accuracy and order-to-pay cycles.

Effective Data gives insurers options to fully integrate into back-end ERP systems, through to customer portals where transactional data can be keyed in or downloaded. As a fully managed service it removes the need for in house resources and provides a platform for the more extensive use of EDI with brokers, delegated suppliers, MGAs, capacity providers, and the claims supply chain.

How Can Effective Data Help?

ED offers solutions that support a document’s lifecycle through integrations with existing applications and system throughout the supply chain. EDI Cloud will get you started with the most flexible, scalable and comprehensive solution available today.

Learn more about our solutions, simply by contacting us today.

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