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Sep 27, 2017

London Market Group TOM News Bites: Setting the right standards

Source: London Market Group TOM News Bites

Global messaging standards will make London a more effective and efficient place to do business. Bill Pieroni, ACORD President & CEO, reflects on how LM TOM and ACORD are working together to encourage market adoption of global standards.

Why is it important for the London Market to adopt global messaging standards?

The London Market has always been customer-driven. Increasingly, insurance stakeholders are demanding reduced costs of doing business as well as better service levels. Global standards support improved levels of efficiency and effectiveness and address what can seem like conflicting demands.

While the London Bureau has a long history of using data messaging by leveraging internally developed standards, ACORD is working with London Market stakeholders to develop consistent industry global data standards. These standards will enable capabilities to be developed and deployed to increase the market’s accessibility and cost-effectiveness.

How is ACORD working with LM TOM?

ACORD is working closely with the LM TOM programme team across several initiatives.

These include:

  • Expanding and mapping LM TOM data requirements to existing ACORD Standards;
  • Certifying the use of ACORD Standards by stakeholders; and
  • Developing stakeholder solutions to reduce the cost, time and risk of deploying LM TOM requirements.

What role do you see LM TOM playing in adopting these standards?

  • Supporting adoption and the value delivery of the Standards; 

  • Enabling straight-through processing; and 

  • Integrating cross-stakeholder business processes

How will the end customer benefit from the London Market’s adoption of ACORD?

Clearly, this will vary depending on the customer’s vantage point, whether, for example, a reinsurer, broker or insured. However, benefits to all customers will include:

  • Organisational and process efficiency – the first step towards straight-through processing and one-touch data capture; and
  • Organisational and process effectiveness – faster delivery and cost reductions.