Insurance & Technology is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.


09:45 AM
Lloyd Chumbley, VP, Standards, ACORD
Lloyd Chumbley, VP, Standards, ACORD
Connect Directly

Standards Provide Value Today and Tomorrow

The value of data standards begins with implementation and continues over time, asserts Lloyd Chumbley, VP, Standards, ACORD.

Technology Strategies That Save MoneyEconomy Drives Exploration of New Outsourcing OpportunitiesCarriers Should Keep Up with Cloud Computing Advances, ChallengesAmerisure Realizes New Benefits From Thin Computing InitiativeAmerican Family Selects TRIRIGA for Facilities Management, Environmental SustainabilityStandards Provide Value Today and Tomorrow
We all know that in today's economy, insurance companies are looking for ways to weather the storm and come out stronger on the other side. Terms such as efficiency, streamlining, ROI and value are echoing from board rooms around the globe. Whether you're using a legacy system, implementing a new platform, or leveraging cloud computing or SaaS, the underlying factor is data. How efficiently and effectively you share and consume data is a key to survival.

In good times and bad, ACORD Standards are used by companies and solution providers to improve data flow and usability and thereby save time and money. It's a value proposition that begins with implementation and continues over time.

The value of standards is in how they enable systems to speak the same language so consuming and sharing data is easier and more cost-effective. This can be among internal systems or with business partners anywhere in the world.

The Real Time and Commercial Download campaigns supported by ACORD are examples of agents and carriers coming together to improve workflow and competitiveness in today's marketplace. Industry participants are advocating standards that will streamline data's round trip, giving agents more time to service and sell to customers.

In the U.K., the announcement by Lloyd's of London of its new Exchange messaging service has made news around the globe. The carrier's objective is to connect the Lloyd's market electronically and enable companies to participate in the data exchange more easily. Underlying the solution are ACORD Standards. "ACORD is the thread running through all the projects as Lloyd's strives to deliver clear information standards along with a simple solution to carry the information around the market supporting day-to-day business," according to Sue Langley, Lloyd's director, market operations and North America.

Employee benefits is yet another area where standards have been improving data communication. ACORD, in cooperation with the Council of Insurance Agents and Brokers (CIAB), has already established standards for RFI/RFP, short-term disability and long-term disability to support information flow among agents/brokers and carriers. Work is continuing to develop and implement electronic messaging that will further save time and money.

The Value of Standards
Survive Today, Prosper Tomorrow

While companies worldwide are looking at ways to shave costs, optimize resources and remain competitive today, there is also a need to look toward the future. But whether you're examining the issues you confront today or ways to improve business and prepare for the future, some of the same general questions remain: How fast can you share data? What will it take to communicate? How will you map data? If you and your partners are using the same standards, will sharing information be faster and easier and therefore less costly?

These questions are particularly pertinent in our global insurance marketplace. Getting usable data from diverse systems quickly and easily is vital. As geographic borders blur and companies work with or operate in multiple countries, the value of data and standards further increases with the introduction of more data from more sources.

The global nature of ACORD Standards is clear. While firmly entrenched in the U.S. and London markets, ACORD standards are growing globally. International activities include the formation of ACORD Working Groups in Australia for both business and technical areas; standards activities in China; implementations in South Africa, India, Japan and Canada; and the list goes on. What it means for you is that your new business partner can now be around the corner or across the globe.

As much as ACORD Standards do for you now, there's still more ahead that will increase their value to the industry. ACORD and its members are working diligently to build the ACORD Framework. It all begins with a model-driven approach to standards development. The five facets include a business dictionary, a capability model, an information model, a component model and a data model. This model-based approach allows ACORD Working Groups to create more-consistent and consumable standards, making companies' implementations easier and more cost-effective.

Register for Insurance & Technology Newsletters