The business insurance working committee of the Center for the Study of Insurance Practice (CSIO) announced that it has reached a new milestone in enabling brokers to obtain real-time quotes for insurance for small and medium-sized businesses (SMBs).
This committee, made up of representatives of 13 insurers and 6 providers of brokerage management systems, announced that it had drawn up common criteria for underwriting the risks associated with the multiple activities that an SME may have. Brokers needed these common prerequisites in order to be able to obtain more than one quote at a time and not repeat this operation with each insurer.
This was developed from codes designed by the Insurance Bureau of Canada (BAC). According to CSIO, this new operation also demonstrates that insurers can extend the scope of operations they can automate.
Three market segments were targeted by this phase: construction, retail trade and professional services.
The next steps
This new step does not mean, however, that brokers can obtain several quotes from insurers for a risk related to an SME from their brokerage management system. Other steps have to be taken.
Insurers and brokerage management system providers must now program the new codes into their own systems. Once this step is completed, brokers will be able to receive the generated quotes they have requested from their insurers.
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