Following a wide experience in the insurance industry, SAFIRA developed an insurance pricing solution (called Customer Centric Pricing solution - CCP) to meet insurance industry needs in terms of pricing agility, being able to deliver measurable results in 12 weeks or less.
CCP allows the insurance companies to:
- Consistently offer adjusted commercial prices across channels
- Easily adjust price to client preferences and behavior
- Easily adjust price to market conditions
CCP solution highlights:
- Commercial Price Standardization
- Sales Improvement: better sales, better price
- Business autonomy: quick time to market, low evolution cost
- Easy Strategy Redefinition & Simulation
- Independent Module
- Easily updated by Business Users
- Core Systems Integration
- Customizable & Extensible
BUSINESS CHALLENGE AND MOTIVATION
Insurance industry is a very competitive market which requires a continuous focus from the companies; direct insurance companies operate in an even more dynamic market, having to respond quickly to very different clients. Although there are different realities, in the insurance industry some typical pains are common across organizations and subsist throughout the years:
- No fixed rules for adjusting commercial price, just guidelines or ranges
- Business strategy is defined and managed in the complex Core System
- Struggle to satisfy time to market
- Costly pricing updates
Additionally, over the years, and with the boom of social networks, the markets (including the insurance market) are evolving to a more personalized approach, namely a more personalized price, once different persons have different tastes, goals and needs.
So… why offer the same price to every client? CCP proposes price adjustments according with rules and patterns that let you model social and economic factors improving sales success and getting the best price.
In order to respond to these business needs, SAFIRA developed the Customer Centric Pricing solution based on the IBM ILOG JRules technology. SAFIRA’s proposal is to convert the commercial price into a scientific process that incorporates business knowledge and client information and consistently delivers the best results.
In terms of architecture, SAFIRA added a new component to the current architecture in order to streamline the business interaction. The solution allows a clear separation between the risk/cost price definition done by actuaries in the core system and the most dynamic price adjustment strategies the business teams implement to improve commercial success.
With this new architecture, there is a clear separation of where actuaries and business users manage the pricing strategies.
Our team is ready to start working with organizations to deploy the solution within the current systems ecosystem and make the required adjustments. The adjustments take into account company strategy definition, benchmark information and also technical integration of the solution.
Typical implementation to deliver the solution comprises:
- Analysis and Definition
- Apprehension of company’s pricing strategies
- Identification of existent and required information
- Definition of integration requirements
- Configuration and Adjustment
- Configuration of client strategy information
- Adjustment of the solution interface to client systems
- Deploy and Testing
- Support for integration and final testing
- Providing of solution training
- Monitoring of production rollout
SAFIRA’s ODM team business knowledge allows us to work together with the business users in order to map the needs into the solution and deliver measurable results in 12 weeks or less.
Support and Evolution
After initial deployment, the business operation will control the solution configurations, making the needed adjustments to strategies. The support service is designed to help business run and improve, and periodically supply solution upgrades to meet new needs.
The solution is Customizable & Extensible and is intended to support business needs as they arise, giving Business the ability to evolve with market demand.