Streamlining Compliance: Managing Bureau Changes through Automation

Staying updated with bureau changes is crucial for insurance companies. Non-compliance carries significant risk of adverse consequences, including legal issues and financial penalties.

However, for insurance companies with multiple lines of business across many jurisdictions, manually monitoring bureaus like ISO and NCCI can eat up valuable time and present many opportunities to miss critical filing updates.

As seasoned providers of insurance compliance services, we have spent decades developing greater efficiencies in monitoring bureau updates for our clients. A key element of our process is Bureau Monitor, a subscription service tool contained within our StateFilings.com solution.

Bureau Monitor streamlines the bureau update process by centralizing circulars, keeping clients informed, and providing recommended filing actions and statuses for all circulars. Features include tracking bureau filing numbers, effective dates, and providing links to circulars.

Here are insights from our insurance compliance services team on how to use time-saving automation tools like Bureau Monitor to reduce the risk of slipping into non-compliance.

Volume and Frequency of Update

There is a variation in the frequency of updates from different bureaus, such as ISO’s frequent updates, versus less frequent ones from other bureaus. This constant stream of proposed changes and new regulations can be overwhelming for compliance departments to track. All these changes increase the risk of missing updates from less active bureaus. The compliance team at Perr&Knight reviews each bureau site frequently to ensure that new circulars/bulletins are documented and made available on Bureau Monitor, regardless of the frequency.

Accurate Information

Responding to new compliance requirements involves lots of moving parts – components like state laws, bureau filing authority, and company’s authorization. These are all unique to each company and line of business. There are, at times, significant complexities involved in understanding and complying with different state filing laws. Perr&Knight’s team updates Bureau Monitor with relevant information to ensure users are seeing the most accurate and relevant requirements.

Avoiding Compliance Gaps

Updates to policy writing and rating systems must be made in a timely manner to avoid compliance gaps. Falling behind on bureau updates can lead to chaos within regulatory compliance departments. The team at Perr&Knight monitors regulatory changes (proposed and enacted) and updates the system accordingly. Users see only the updates relevant to their lines of business.

Compliance and state filings departments are alerted to required actions regarding adoption/non-adoption, delay filings, documentation, and more. Because Bureau Monitor is part of StateFilings.com, users can also connect bureau updates to specific SERFF tracking numbers once the update is filed.

Benefits of Automation

Automating bureau monitoring has been a game-changer for compliance departments. Here are some of the ways automation through Bureau Monitor helps:

• Saves time – Bureau Monitor relieves the administrative burdens and saves time for compliance departments, allowing them to focus on bigger-picture strategic issues.
• Establishes a clear process – Managing bureau updates requires a clear, documented process. Bureau Monitor can help facilitate workflows and establish best practices.
• Improves accuracy – Automation reduces the risks associated with relying on ad hoc systems like spreadsheets and emails to track bureau updates.
• Streamlines communication – The ability to add notes enables users to include comments that remain in a single repository, not buried in old emails.
• Provides end-to-end tracking – Users can see the entire life cycle of bureau updates, from proposed changes through to filing status (as part of StateFilings.com).
• Increases decision-making efficiency – Centralized and automated services like Bureau Monitor improve decision-making efficiency by providing all necessary information in one place. All stakeholders can access the information they need to avoid missed deadlines and compliance issues.
• Enhances internal processes – Centralizing bureau updates provides useful information to help companies manage policy writing and rating system changes.
• Delivers key information – Customizable dashboard views and reports let users sort and view specifics on filing actions, jurisdictions, effective dates, etc.

Centralized Record-Keeping

Consolidating bureau updates on a single platform enables company stakeholders and compliance department staff to rely on a single source of truth for the entire life cycle of an update, from proposed change through to filing and implementation status. This detailed compilation of information saves significant time collecting information in the event of an internal or Department of Insurance inquiry or exam.

Efficiently managing bureau updates is essential for every insurance company – but the process can be time-consuming. Automation tools like Bureau Monitor help compliance departments get even further ahead by monitoring, tracking, and storing updated information in a single repository that saves time and reduces the risk of compliance violations.

Contact the experts at Perr&Knight to learn more about Bureau Monitor and how our insurance compliance services can further support activities related to your bureau updates.