Charles Taylor InsureTech has announced the launch of Authority Hub, a digital product aimed at improving insurers’ governance, visibility and control of authority agreements.
One of the most important obligations for insurers is to ensure that all employees are issued with and accept an appropriate, accurate and consistent authority agreement outlining their financial, operational and commercial responsibilities to the business, Charles Taylor said. Breaches of these authorities can result in business being written in excess of an insurance company’s risk tolerance, and penalties for breaches can run into the millions of dollars.
Authorities must be distributed and validated throughout the organizational hierarchy, and insurers must have evidence that the documents have been signed, accepted and understood by all employees. This process has typically been managed manually, opening the door for errors, inconsistencies, breaches and fines. This limits the insurer’s visibility over its exposures and makes it difficult to provide reliable evidence to regulators, Charles Taylor said.
Authority Hub digitizes the authority management process, allowing insurers to create, submit, review and agree authorities consistently and accurately while maintaining real-time visibility across their business through a web-based management platform. The product automates many processes and simplifies workflows, saving time and money and reducing errors and breaches, Charles Taylor said. Authority letters can be generated automatically from a central source of clauses and updates en masse, ensuring that authorities are always consistent and up to date.
Dashboards for delegators, administrators and authority holders help ensure all parties understand their obligation. Authority Hub also integrates with HR systems to enable collaboration and sharing.
“Complying with ever-evolving regulations remains one of the biggest challenges for insurers,” said Joanne Butler, head of product marketing and pre-sales at Charles Taylor. “Authority Hub not only helps insurers avoid potentially costly fines for conduct breaches, but also transforms their business by bringing improved visibility for better decision-making and reducing the time, cost and risks involved in managing authorities. Relying on spreadsheets, Word documents and inefficient manual processes leaves insurers vulnerable and unable to maximize business opportunities. Authority Hub provides a single source of truth that brings both peace of mind for all parties while also enabling the insurer to efficiently redeploy capacity not currently being used.”