Paragon has completed Reinsurance Process Reviews for a number of well-known insurance companies, several of which are highlighted below. All of these projects were completed on time and within budget, and all of them allowed our customers to take the next steps in creating the most efficient and effective environment for administering and processing reinsurance.
Company A
Paragon worked with a large, regional mutual insurer to:
- Perform a reinsurance best practices assessment
- Document current reinsurance workflows
- Identify operational strengths
- Provide reinsurance process improvement suggestions and
- Evaluate the potential benefits of implementing a comprehensive reinsurance system.
Recommendations provided by Paragon to Company A included specific action steps to:
- Improve processing efficiency for handling reinsurance claims for different lines of business (Workers’ Compensation, Property, Casualty)
- Improve administrative control over reinsurance notices sent to brokers/reinsurers
- Improve the consistency, control, and accountability of reinsurance administration and the associated financial records
- Improve reporting of recoverables to facilitate monitoring of credit risk and cash flow
- Improve system processing to assist with capturing reinsurance activity
- Improve knowledge level of reinsurance terms for claims staff
- Establish cross training opportunities for staff involved in reinsurance processing
- Establish collection policies and procedures and
- Establish appropriate metrics to monitor the reinsurance administration process.
Company A was “very, very satisfied” with the outcome of the project, stating that Paragon’s work was “excellent” and “totally met our goals.” The customer also indicated that this project positioned them well for upcoming process improvement initiatives.
Company B
Paragon’s work for a national personal, commercial, and surety insurer provides another example of our comprehensive and successful approach in performing reinsurance process reviews. In this engagement, Paragon:
- Catalogued reinsurance contracts
- Reviewed current reinsurance procedures
- Provided written, detailed reinsurance policy and procedure documentation
- Completed an assessment against reinsurance best practices
- Identified operational strengths
- Provided process improvement recommendations and
- Offered advice on potential commutation opportunities.
Recommendations provided by Paragon to Company B included specific action steps to:
- Make better use of system capabilities
- Enhance reporting and promote knowledge sharing across locations and functional areas
- Improve timeliness of reinsurance billings and collections
- Improve ability to identify all losses subject to reinsurance and avoid missed recoverables
- Ensure accuracy of cessions
- Ensure accuracy of financial records for reinsurance and
- Reduce risk of personnel turnover through improved documentation.
The customer was very pleased with the results of the project, saying that Paragon provided what was needed, gave good suggestions for improvement, and allowed them to “hit their target” within the 90-day requested timeframe.
Company C
Paragon provided a comprehensive review of an international insurance group’s multi-location reinsurance operation, including people, process and technology. Within a very tight timeframe, Paragon worked closely with Company C staff to:
- Document current reinsurance processes and workflows across the organization
- Identify inefficiencies and data integrity issues and
- Recommend a detailed action plan to address the identified issues and concerns.
Recommendations provided by Paragon to Company C included specific action steps to:
- Establish service standards and deliverables for the multiple locations, functional areas, and numerous staff members involved in the reinsurance process
- Improve efficiency in reinsurance collections to maximize recoverable assets
- Improve data integrity in system processing and correct known issues with system processing
- Implement cross training and development plans to increase knowledge level of staff
- Improve the use of technology through system upgrades and consolidation and
- Establish metrics to monitor workload allocation, recoverable trends, and collections efficiency.
Paragon helped Company C to ensure the appropriate operating model and processes were in place to facilitate efficient and effective reinsurance handling, with a specific emphasis on reinsurance recoverable collections. Company C was satisfied with the results of the review, saying Paragon provided them with a “logical classification of the process flow efficiencies” and a “great roadmap for improving our reinsurance functions.”