Welcome to our first newsletter of 2012 TABLE OF CONTENTS• Welcome

• Kiln Selects FINEOS for Claims Operations

• Specialised Technology Brings Better Claims Service

• Leading Lloyd’s Syndicate Goes Live with FINEOS Claims for the London Market

• Upcoming Events 2012

• Announcing the 6th Annual FINEOS Claims Global Summit

• Webinar - Leveraging Claims Data to Boost Performance

• iPad Winner

FINEOS EventComingSoon

FINEOS will be hosting a morning seminar entitled “Claims 2012: What are the Big Issues Facing Claims Professionals?”

FollowingBronekMasojada’scriticismoftheLondonMarketClaimsTransformationProjectthisclaimsbriefingwillseeseniorclaimsprofessionalsfromtheLloyd’sandCompanydiscusstheissuesastheyseethem.

Forfurtherinformationortoregister,pleasecontactVictoria.Jamison@FINEOS.com.

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FINEOS NewsletterfortheLondonMarket

I N N O V A T I O N T H R O U G H K N O W L E D G E www.FINEOS.com

As we enter the year of the Queen’s Diamond Jubilee, it is interesting to see a ’changing of the guard’ in the London Market claims community. Already there have been several new appointments and more will no doubt follow.

Atransitionisalsotakingplaceinthesystemscommunity,andFINEOSisdelightedtoannouncethatourfirstLondonMarketcustomerisnowlive.WealsohaveourfirstFINEOSExpresscustomer,Kiln,whoispartofTokioMarineGroup.KilncurrentlymanagesfoursyndicatesatLloyd’sand,intermsofcapacity,isoneofthelargestagenciestradingintheLloyd’sinsurancemarket.WearealsopleasedtoannouncethattheFINEOSClaimsGlobalSummitwilltakeplacejustoutsideDublinlaterthisyear,andforthefirsttimewewillhaveadedicatedLondonMarketstreamforcustomersandprospects.

Kiln Selects FINEOS for Claims OperationsFINEOSCorporation,amarket leadingprovider of claims managementsoftware, has announced that Kiln,the international insurance andreinsurance underwriting group, hasselectedFINEOSExpressforitsclaimsoperations. Kiln, one of the largestagencies trading within the Lloyd’sinsurancemarket, isanacknowledgedleader in a number of business areasincluding property & special lines,marine & special risks, reinsurance,accident & health, aviation, life andenterprise risk. FINEOS Express, theversion of FINEOS Claims specificallydeveloped for the London Market, willberolledoutacrossalllinesofbusinessand become the common platform forKilnoperationsintheUKandoverseasin Belgium, France, Germany, Brazil,SouthAfrica,HongKongandSingapore.

The decision to move to a modern,web-based claims system wasdriven by Kiln’s continued focus ondelivering a first class claim handlingand settlement service to its clientswithin the Lloyd’s Market. Followinga thorough evaluation of the leadingclaims solutions in the market, Kilnopted for FINEOS which offers a fully-configured, out-of-the-box claimssolution designed for organisationswhere the primary operation is as aLloyd’sSyndicate.

MichaelKelly,CEO,FINEOSCorporation,welcomedKilnasanewcustomer.

FEBRUARY 2012

By Tim Crossley

“ We are delighted to be working with such a high calibre customer as Kiln. We are totally committed to providing the best claims product in the London Market and will be investing significantly in both product and resources to support this in the coming years”.

Specialised Technology Brings Better Claims ServiceLondon Continues to Search for a Panacea to Allow Speedier, More Accurate Claims Handling. Richard West, FINEOS, outlines some of the most recent progress.

Inthefaceofincreasedpressuretoimprovethespeedofclaimssettlement, improve serviceandincreaseoverallefficiency,managingagentsarereviewingthe structure of, and roleswithin, the claims departmentinaquesttoestablishoptimalorganisation and processes tobestmeetwhatmanyconsiderconflictingobjectives.

Underlying all of this is thekey question: how can claimsbe handled more quickly,accurately and fairly withoutprocessingcostsescalating?

What has been seen in recent times is that whilst most claimsdirectors and COOs would not consider themselves economicsgurus,manyareadoptingAdamSmith’sDivisionofLabourprincipleto achieve just that. Smith’s pin factory example bears strikingresemblancetoasolutionincreasinglybeingadoptedintheLondonMarket,wheresimplerclaimsarediverted to lessexperiencedortraineeadjusterswhilststaffinnewlyestablishedclaimsoperationsdepartmentsnowperformarangeoftasksdesignedtomaketheseniorclaimsadjuster’slifeeasier.Inbothcases,themainobjectiveis to allow senior adjusters to concentrate on the more complexclaimswheretheirskillsandexperienceareneededmost.Buthowcan companies fundamentally change their claims organisation,adoptcompletelynewprocesses,introducenewrolesandalterthetraditional“DoItAll”rolewithoutcreatingchaos?

Ifweexaminetheissuesthereisnodoubtthatasignificantproportionofclaimsactivityisstraightforwardbutinthe“DoItAll”approach,seniorclaimspersonnelperformthesetasksaswellasdealwiththosecomplexissuesthatjustifyandrequiretheirexperience.

Furthermore, it must be recognised that those long-steepedin the claims profession and not necessarily the best people tobe responsible for process analysis, extracting managementinformation, liaising with IT and performing other non-core tasksandnordomanywantto.

Claims Segmentation TechniquesIthastobeaconcernthatwhiletheLondonMarketwringsitshandsabout the claims skills shortage, it continues to use those rare,sought-afterstafftodoworkthatdoesnotneedthoseskills.Surelythere’s roomhere forgettingmore for less?Notonly cansimpleclaimsberoutineandneedlittleexpertisetoprocessbutmanytaskswithin the most complex claim are straightforward. For example,whydoyouneedahighlypaidseniorclaimsadjustersimplytogatherallthedetaileddatanecessaryforcomplexclaimsbeforetheclaimsassessmentcanproceed?Dataenrichmentisclearlysomethingthatcanbedelegated.

Theproblemitselfiscleartoseebutwhatisneededisanefficientandflexiblemeansbywhichroutineclaimsandtaskscanbesafelyandefficientlyperformedbymorejuniorpersonnelwithoutanyrisktoserviceandaccuracystandards.

Somecompanieshaveusedbasicworkflowsoftwarecoupledwiththediversionofsimplerclaimsandroutinetaskstomorejuniorstaff.Whilst this solution implements Adam Smith’s division of labour

principle, it isreallyonlyafirststeptowardsreapingthepotentialsavingsandserviceimprovementsthatcanbeachievedbythenewapproach.What isreallyneeded isspecialistclaimsmanagementsoftwareratherthantheapplicationofagenerictechnologysolution.Todelivertheefficienciessodesiredbythemarket,atthecoreofaclaimscasemanagementsystemneedstobeahighlyflexibleRulesEngine that allows claims processes to be designed according towhateverattributesapplytoaparticularclaimscase.Thisapproachhastostartthemomentaclaimnotificationarriveswherethecaseissubjecttoasegmentationortriageprocess.Allinformationreceivedwithintheclaimnotificationisthenexaminedand,accordingtothenatureoftheclaim,theappropriateprocessisautomaticallyapplied.Inmanycasesclaimswillbedivertedtojuniorstafftocorrectdataoraddmissingdataessentialtotheassessmentoftheclaim.Onlywhenacaseis“clean”,(iesufficientdataisnowavailable),willthecasemoveontotheskilledadjuster.Inothercases,routine,simpleclaimswillbedealtwithbyjuniorstaffthemselvesbutthereistheabilitytorefercasestosenioradjustersshouldanissuedevelopthatrequirestheirexpertise.

Such an approach is conducive to the allocation of routine tasksandsimplercasesbetweenindividualsanddepartmentswhilststillallowing all relevant claims personnel a dashboard view of everyactivitybeitcompleted,currentoryettostart.

Giventheeventsoftheyearsofar,suchasystemwillalsobehighlybeneficialinhandlingcatastropheclaimswherehighlycomplexclaimswillincorporatealargenumberofroutinetasksegdatagathering.

Claims OperationsArelativenewcomertoanumberofmanagingagentsistheClaimsOperationsDepartment.Theseteamshavebeenestablishednotonlytomaketheclaimsadjuster’slifeeasierbuttoassessandmonitortheefficiencyofallclaimsactivities.Thismeansidentifyinganddealingwith particular process issues and easing the implementation ofnewprocessesandITsolutions.Inaddition,claimsoperationsareresponsiblefortheproductionofmanagementinformationandtheuseofKPI’stoaidperformance,trendmanagementandworkloadforecasting.ClaimsOperationsstaffwillalsoensurethatprocessesaredesignedtoensurelegalandcompliancerequirementsaremet.Theseareallessentialtasksbutdonotfallinlinewithmostclaimsadjusters’coreskillsset.

Again,specialistclaimsmanagementsoftwareisthekeytoolthatclaims operations staff can exploit. Such systems will alreadyincorporatesophisticated,claimsspecificMIreportsanddashboardsthatallowclaimsoperations tokeepafingeron thepulseof thewholeoperationandthusquickly identify issues,recognisetrendsandmonitoradherencetoservicestandards.Whereanewsituationis faced such as a new major cat, claims operations can quicklyimplement specialised reporting to ensure close monitoring ofevents and help forecast the timing and level of the increasedworkload.WithouttheneedofITskills,claimsoperationscanalsomodifytherulesengineandthesystemdrivenprocessestodealwiththenewcatcasesinthemostefficientmanner.

Solutions to the market’s problems are definitely out there butlessonsneedtobelearntfromothermarketswhereprogresshasalreadybeenmake.Divisionoflabourcoupledwiththeestablishmentofspecialistoperationsteamsisaworthyaimbuttobefullyeffectivespecialistclaimsmanagementsystemshavetobeinplace.

Claims have never been under the spotlight as they are today. TheLloyd’sMarketisalsomakingprogress;howeveratarecentcoverholderconferenceheldinLloyd’sthemarketwastolditneededtoaspiretostepstakenintheUSwhichappeartobeaheadofthoseatLimeStreet.OneofthemosttellingcommentscamefromoneUScoverholder.Hismessagewasclearandsimple- “Lloyd’s needs to catch up”.

Article appeared in Insurance Day, December 2012

Leading Lloyd’s Syndicate Goes Live with FINEOS Claims for the London MarketNew System Provides Full Cycle Claims Management

FINEOShasannouncedthatoneofthelargestmanagingagentsin the Lloyd’s market has gone live with FINEOS Claims. Thesolutionprovidesfullcycleclaimsmanagementforclaimsarisingfrom the company’s operations in Property, Contingent Lines,Marine,andReinsurance.Afteranextensiveevaluationofleadingclaims management solutions, FINEOS Claims was judged toofferthebestfitfortheLondonMarket.Otherselectionfactorswere thematurityofFINEOSasacompany, itscommitment tothe London Market and its successful track record in claimsimplementations.

FINEOS Claims offers a seamless web-based system that isflexibleandfuture-proof.Itgivescontroltothebusinessallowingthe company to further strengthen its claims managementcapabilitiesandmeetandexceedthehighestservicestandards.The system also provides comprehensive claims managementcapabilities that are complementary to and consistent with theElectronic Claims File (ECF) and Lloyd’s Claims ManagementPrinciples and Minimum Standards. It also provides bettermanagement information, delivering a consistent process forclaimshandlingirrespectiveofthebusinesssource.

Thenewrules-basedclaimssolutionenablestheSyndicatetoadaptandfinetuneitsbusinessprocesseswithouthavingtodependonFINEOSforeverychange.Moreover,thesegmentationcapabilitiesin thesolutionensure that volumeclaimsareprocessedquicklywithout tyinguphighlyskilled,specialisedclaimsstaff.Complexclaimsareautomaticallyroutedtostaffwiththenecessaryskills,experienceandexpertisetodealwiththem.

Commenting on the Syndicate’s move to a production status,MichaelKelly,CEO,FINEOSCorporationsaid,

“We are pleased to announce another successful FINEOS Claims implementation and we are delighted with the strong reputation we are building within the London Market. We see this as a testament to FINEOS Claims’ ability to support a wide range of lines of business and a variety of operating channels on a single, enterprise wide platform. We will continue to invest significantly in FINEOS Claims for the London Market and look forward to working with more London Market insurers in the coming years.”

Upcoming Events 2012We have another busy schedule of events taking place in 2012. Below are some of the conferences we are sponsoring over the coming months. For a full schedule of events, please visit our website. If you would like to attend any of the events or set up a meeting with FINEOS, please contact Victoria.Jamison@FINEOS.com.

Strategic Claims Conference 2012Mint Hotel, Tower of LondonWednesday 7 March

The theme of this year’s conference is: The Strategic Role of Claims as an Asset to the Overall Business. FINEOS will be

exhibiting at the conference and sponsoring Stream 4 entitled:Harnessing Technology: New Developments and the Impact on Claims. The session will be chaired by Graham Newman,European Product Marketing Manager, FINEOS, and will bedividedintotwosections:

Case Study: Critical Lessons Learned from a Real World Technology Implementation

Michael Whelehan, Head of Claims, FBD Insurance

•Whyamajortechnologyimplementationisamajortransformationprojectandwhatthisactuallymeansforyourbusiness

•Legacysystems-somelessonslearnedoneffectiveconsolidationwithnewtechnologyassets

•Wherepeoplemeettechnology:effectivelypreparingtheorganisation

•Whatactuallyhappenedduringthecourseoftheimplementation

Future Technology and the Potential for Claims

Jo Hinds,Head of Financial Services, Google

•Usinginnovationinthedigitalspacetogivecustomerstheexperiencetheynowdemand

•Insightsfromotherindustries•Theuntappedopportunitiesofmobileandsocialforcustomer

service-andwhysocialisnotafad•“Havinganapp”isnotamobilestrategy:whatyouneedto

ensureamulti-platformexperience•Earlythinkingonhowdigitalwillmakeinsuranceanext-

generationservice

The London Market ForumMint Hotel, Tower of LondonMonday 12 March

TheLondonMarketForumprovidesathought-provokingplatformfor key thinkers and market leaders from Lloyd’s and theCompanies’MarkettodiscussthechallengesandopportunitiesofsustainingLondon’spositionastheworld-leaderinspecialistinsuranceprovision.

Aspartoftheconference,Graham Newman, FINEOSwillpresentClaims Transformation: Positioning for the Future

Thispresentationwilllookat:

•Definingbetterclaimsoutcomesandtherequirementsofsuccess

•Providingthepowertochange:theroleoftechnologyinenablingtransformation

•Understandingandmakingthemostoftheinternetexperience•Whoistheclaimssystemfor?Redefiningandeffectively

managingtheclaimsecosystem

Corporate HeadquartersFINEOSCorporationPembrokeHouse8-10LowerPembrokeStreetDublin2T+353-1-639-9700F+353-1-639-9701Einfo@FINEOS.com

Boston Capability CentreFINEOSCorporationOneMainStreet,5thFloorCambridge,MA02142T+1-877-8-FINEOST+1-617-649-0018F+1-617-649-0135Einfo@FINEOS.com

Melbourne Capability CentreFINEOSCorporationLevel8224QueenStreetMelbourneVIC3000T+61-3-9018-3400F+61-3-9018-3401Einfo@FINEOS.com

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Announcing the 6th Annual FINEOS Claims Global Summit

The FINEOS Claims Global Summit is the premier event to learn about emerging trends in the insurance claims market and to gain exposure to thought leadership and proven best practices from experts in the field of claims management.

We are pleased to announce that our 6th annual summit, theFINEOSClaimsGlobalSummit2012,will takeplace justoutsideDublin,Ireland.

Thisyear’sfocuswillbeonAchievingClaimsExcellence,andtheagendawillincludesessionsaddressingthisthemefromindustryexperts,FINEOScustomers,andinternalFINEOSexperts.WiththeSummitinthesamelocationasFINEOSCorporateHeadquarters,access to FINEOS personnel will be optimal, and attendeenetworkingopportunitieswillbeenhanced.

Date: 8 - 11 October, 2012. Optionaleducationsessions,pre-scheduledmeetingswithFINEOSrepresentativesandadditionalnetworkingactivitieswillbeofferedonthedaysofMonday,8OctoberandFriday,12October.

Time:TheSummitofficiallybeginsat6pmonMonday,8Octoberandendsby2pmonThursday,11October

Location:TheRitzCarlton,Powerscourt,CoWicklow,Ireland.

Who Should Attend?CurrentFINEOScustomersand invitedguests, includingClaimsprofessionals, CIO’s, CTO’s, enterprise architects, and other ITmanagement

For more information, please email Alison.Murphy@FINEOS.com.

Webinar - Leveraging Claims Data to Boost PerformanceOn Thursday 16 February, FINEOS hosted a webinar entitled “Leveraging Claims Data to Boost Performance.”

Mostinsurersdon’tlackclaimsdata.Theylacktheabilitytounlockthe valuable information contained in their claims data. Siloedsystems and organisations, incompatible internal data models,andpoorreportingandanalyticscapabilitieshampertheindustry’sattempts to transform claims departments into data-driven,insight-basedoperations.Totheircredit,manyinsurersrecognisethatleveraginganalytictoolsandtheirinternaldataisthekeytoimpactingclaimsoutcomes,andareinvestigatingaccordingly.Thewebcastexploredtheissuesandindustrytrends,suggestingan approach, and giving examples of steps that can be taken tonotonlygaintheinsightsnecessarytoimprovethebusiness,butto actually drive optimum processes by using modern claimstechnology.TolistentoarecordingoftheWebinar,pleasevisitwww.FINEOS.com/about/resource-library

Speakers:

iPad Winner

GrahamNewman,EuropeanProductMarketingManager,FINEOS,presentsaniPad2toPeterLeahy,HeadofIT,Endsleigh.PeterwastheluckywinneroftheiPad2attheInsuranceNetworkAnnualCongress2011.

Martina Conlon, Principal, Novarica

Jonathan Boylan, Chief Technology Officer, FINEOS