1. ACORD in the London Insurance Market
March 2007

2. Agenda
About ACORD
Current Activities
Future Plans

3. Who is ACORD? Independent and Objective Trade Association
Serving the Insurance Industry since 1970
Facilitating Industry-Driven Standards for
Brokers, Carriers, Solution Providers, Market Associations
Not For-Profit Corporation
Anti-Trust protected forum for developing Standards and promoting implementation
Develops, Manages, and Promotes Standards

4. Why Standards Sharing data Simplified processes
Straight through processing
Reduce the cost of processing
Connect to trading partners
Enhances the quality of data
For Global trading/processing

5. The Business Wish List Competitive quotes Improve claims ratio
Increase access to Markets
Process efficiency
Open all hours
Satisfy Regulators more easily
Clarity of Contract
Understanding exposure
Globalisation
Automation
Intra Office communication
Legacy Management
Manage claims exposure and R/I recoveries
Efficient reporting

6. Electronic movement of information
The Need for Standards
Competitive quotes
Improve claims ratio
Increase access to Markets
Process efficiency
Open all hours
Satisfy Regulators more easily
Clarity of Contract
Understanding exposure
Globalisation
Automation
Intra Office communication
Legacy Management
Manage claims exposure and R/I recoveries
Efficient reporting
Electronic movement of information
and the
Need for Standards

8. The ACORD Vision
The Global Insurance/Reinsurance Industry has one, common set of Business Data Definitions
All solutions implemented are built upon these Standards

9. ACORD Governance 3 Standard Domains ACORD Board
Non Life
Reinsurance Large Commercial
Property Casualty &Surety
Life
Life and Annuity
ACORD Board
Advisory Boards
ACORD Standards Committee
Domain Steering Committee
Business
Technical
Implementation
ACORD staff
Working groups

10. ACORD Governance
ACORD Standard setting is governed by a document that is called our Standard Operating Procedure. This communicates how we must be structured and what we do in relation to standards setting. It defines that there is to be leadership from our members on a series of committees. These committees allow the members to control what we do in the area of standards setting. There are five key groups: The Board of Directors which is mostly senior level employees of our key members. The three steering committees for each of the standards which is mostly business level managers in our members and then the ACORD Standards Committee which is made up of representatives of the other committees.

11. RLC Messages – the standards to be used by London
Placing
Slip and contract details for quotation, firm order and endorsement processing
Technical Account
Technical accounting movements (eg LPAN)
Financial Account
Listing of settlements
Claim Movement
Claim and loss reserve details
Bordereau
To list premium and claim or risk information
Technical standards
Includes DRI

12. ACORD Implementations
The ACORD messages are usually large with lots of functionality
Organisations tend to implement in ‘bite size’ chunks
Start with skinny messages
Enhance functionality gradually
Roadmaps are needed to explain implementation phases and plans
Implementation guides are developed that reflect the agreed phased implementations
Benefits
Implementations are tighter, simpler, more manageable and cost effective

13. London Projects – the ACORD involvement
Placing
Implement the ACORD Slip (GPD)
Implement ACORD Placing message
A&S
Implement A&S Repository
Implement ACORD messages for Bureau and non Bureau accounting
Claims
Implement Electronic Claims File

14. ACORD London Market Plans

15. Placing
Quote
Place
Endorse

16. G6 phase 2 (Two-way messaging)
Placing
Quote
Place
Endorse
Implemented
Implemented
MR slip G6
Implemented
Complete pilot end Q2 2007
G6 phase 1
MRSIG
Implementation from June 2007
G6 phase 2 (Two-way messaging)

17. Placing Quote Place Endorse Implemented Implemented MR slip G6
Complete pilot end Q2 2007
G6 phase 1
MRSIG
Implementation from June 2007
G6 phase 2 (Two-way messaging)
Completed - awaits MRG decision on rollout
GPD
Update to include MRSIG Q3 2007
PLACING IMPLEMENTATION GUIDE
Publish June 2007 (G6 incorporated)
PLACING IMPLEMENTATION GUIDE
DOCUMENT REPOSITORY INTERFACE IMPLEMENTATION GUIDE
Re-publish June 2007 with London rules incorporated
TESTING AND CERTIFICATION FACILITY
Already implemented with London DRI rules included
Support for placing targeted for June 2007

18. Global Placing Document (GPD)
The ACORD Slip
Implementation Guide with examples
Originally based on LMP (MR) Slip
Extended to include additional content for specific areas of business
GPD is mapped to the ACORD Placing message

19. Placing Implementation Guide (PIG)
An implementation guide for the ACORD Placing message – Processes and data required at each stage
Build: client – agent negotiations about the structure of a proposed placement. ACORD messages allow agents to propose terms for their client to review and approve or decline.
Quotation: where a client (or their agent) approaches one or more carriers for a quotation. ACORD messages allow clients, carrier and agents to request and provide quotations.
Client Approval: where a client has engaged an agent and wishes to approve their work before any contracts are placed. ACORD messages allow clients to approve the work of their agents before the placement is continued.
Order: the process of binding and formally accepting a contract. ACORD messages allow for clients and carriers to enter into a binding contract (either directly or via their agents), as well as indicate declinatures, supply conditions and manage contracts post-bind.
Endorsement: the amending of a contract after it has been bound, ACORD messages allow clients, carrier and agents to propose, agree and notify endorsements.

20. Placing Quote Place Endorse Implemented Implemented MR slip G6
Complete pilot end Q2 2007
G6 phase 1
MRSIG
Implementation from June 2007
G6 phase 2 (Two-way messaging)
Completed - awaits MRG decision on rollout
GPD
Update to include MRSIG Q3 2007
PLACING IMPLEMENTATION GUIDE
Publish June 2007 (G6 incorporated)
PLACING IMPLEMENTATION GUIDE
DOCUMENT REPOSITORY INTERFACE IMPLEMENTATION GUIDE
Re-publish June 2007 with London rules incorporated
TESTING AND CERTIFICATION FACILITY
Already implemented with London DRI rules included
Support for placing targeted for June 2007

21. ACORD Testing Certification Facility
Software that confirms messages are ACORD compliant
Test own systems as though interacting with real business partner
Performs data and business validation
Ensures new business partners are ready before becoming engaged
ACORD have an effective and efficient method of certifying messages

22. Accounting and settlement
Close
Account
Settle

23. Accounting and settlement
Close
Account
Settle
Guide for ongoing reference
A&S Strategic
Implemented
A&S phase 1
Signing messages; BSM, CSM, USM
Implemented
Generally available from October 2007
ELPAN2
Implemented internationally, not yet in London
Peer to Peer accounting

24. Accounting and settlement
Close
Account
Settle
Guide for ongoing reference
A&S Strategic
Implemented
A&S phase 1
Signing messages; BSM, CSM, USM
Implemented
Generally available from October 2007
ELPAN2
Implemented internationally, not yet in London
Peer to Peer accounting
Publish June 2007 with ELPAN2 and EBOT requirements incorporated
ACCOUNTING & CLAIMS IMPLEMENTATION GUIDE
ELPAN2: Bureau
EBOT: Non Bureau
DOCUMENT REPOSITORY INTERFACE IMPLEMENTATION GUIDE
Re-publish June 2007 with London rules incorporated
TESTING AND CERTIFICATION FACILITY
Already implemented with London DRI rules included
Support for Accounting targeted for August 2007

25. Claims
Advice
Payment
Settle

26. CLASS (Company market)
Claims
Advice
Payment
Settle
Implemented
Implemented
CLASS (Company market)
Signing messages; BSM, CSM, USM
Rolling out
CLASS (Lloyd’s)
Rolling out
ECF
Implemented internationally
Peer to Peer claims

27. Claims Advice Payment Settle Implemented Implemented
CLASS (Company market)
Signing messages; BSM, CSM, USM
Rolling out
CLASS (Lloyd’s)
Rolling out
ECF
Implemented internationally
Peer to Peer claims
ACCOUNTING & CLAIMS IMPLEMENTATION GUIDE
EBOT: Non Bureau
Publication with EBOT requirements targeted June 2007
DOCUMENT REPOSITORY INTERFACE IMPLEMENTATION GUIDE
Re-publish June 2007 with London rules incorporated
TESTING AND CERTIFICATION FACILITY
Already implemented with London DRI rules included

29. ACORD – Key dates for London in 2007
TCF
DRI messages Complete
Placing messages June 2007
Accounting messages August 2007
Placing Implementation Guide
Complete for current work load June 2007
Updated for London Endorsements Q3 2007
Accounting Implementation Guide
EBOT June 2007
ELPAN2 June 2007
DRI
Guide enhanced June 2007
Forums
IT Club Ongoing
Service Providers Forum Ongoing

30. ACORD – other areas Roadmaps ACORD TV Working on Exposure reporting
London Roadmap - this has been developed into the MRG Roadmap
ACORD is developing Roadmaps for North America and Europe
ACORD TV
Communication and Education service
Video on demand providing insurance information via ACORD website
Working on Exposure reporting

31. ACORD Membership Over 500 Worldwide members London
Lloyd’s on behalf of all Managing Agents
Brokers – the major organisations
Companies – many of the IUA membership
Service providers
Market Associations (LMBC, LMA and IUA)

32. Purpose of Standards Reduce the cost of doing business
Reduction in time and costs
Connect trading partners efficiently
Sharing data with business partners
Simplified and common business processes
Straight through processing
Enhance data quality and transparency
Improve customer service
Provide access to markets and partners globally.
Speed to market with products and services
Sharing data within own organisation
Electronic movement of information

33. World Headquarters: London office: Two Blue Hill Plaza 3rd Floor
Pearl River, NY USA
London office:
LUC - Suite 1/3
3 Minster Court
Mincing Lane
London EC3R 7DD UK
SLIDE 33