The right software is critical to building a successful MGA, and as a business grows and evolves, so do its software needs. And while the investment and upheaval of implementing new MGA software can be daunting, the cost and inconvenience of staying with the wrong system can be even greater.
Insurance software is a long-term investment, with contracts usually lasting a minimum of three years. Therefore, when your software renewal date is approaching, it is crucial to thoroughly review your business needs and the performance of your current provider, from around six months in advance.
There are a whole variety of factors to consider when evaluating your renewal options. This checklist ensures you don’t miss anything.
MGA SOFTWARE RENEWAL CHECKLIST
SOFTWARE PERFORMANCE
Does the software meet your MGA’s evolving needs across the insurance lifecycle, including:
Does it meet your product development needs?
- Can you launch products or make product changes quickly in response to the market needs?
- Can you build products, make product changes yourself if desired, without relying on your provider?
- Can you easily build intuitive workflows around your products?
Are your broker partners and other distribution channels satisfied with system performance?
- Does your software make it easy for brokers and other distribution partners to request quotes, and do they receive a fast response?
- Is the submission-to-quote time satisfactory?
- Are distribution partners able to find the information they need through the system, so your team isn’t overwhelmed with broker queries?
Are underwriting processes as efficient as they could be?
- Do your underwriters have easy access to all the data they need in one place, rather than spending days compiling information from numerous systems and databases?
- Can your rating engine efficiently handle the volume of quotes your business receives?
- Can your software build and cater for complex workflows, for example, approval of more complicated or unusual risks as part of underwriting?
Does the claims experience measure up? (In-house claims)
- Are claims being handled quickly and efficiently?
- Are customers able to log their claims easily and receive regular updates?
- Are you receiving positive reviews on your claims process rather than complaints?
SCALEABILITY
Does your software have the flexibility to adapt to your business as it grows, including:
Can your software support your business plans?
- Can it support future growth into new products, or regions?
- Can it support any planned distribution channels, such as D2C or embedded insurance?
Does your software have open APIs to enable easy integration with current and future partners?
- Does your current system integrate seamlessly with distribution, capacity and/or claims providers?
- Does it connect with and draw on external data sources to enhance the sales or underwriting journey?
Do usage, cost, and licensing continue to suit your business?
- Is your software provider set up for the stage your business is at and how it will evolve in the next few years?
REPORTING AND DATA
Does your software provide full business visibility through data and reporting, including:
Do you have a single source of truth?
- Are data capture, processing, and storage fully automated and accurate, providing real-time business visibility and reporting?
- Does data automatically update across the system, e.g. does claims data automatically feed into underwriting, product development, pricing, and sales?
Is your finance and accounting engine 100% accurate?
- Do you receive consistently accurate finance and accounting outputs, without any errors?
- Is the finance and accounting team able to manage its workload without being overloaded with admin?
- Do you get the reporting breakdown you need, alongside a comprehensive audit and compliance trail?
- Does your finance and accounting system meet the needs of all your capacity providers, e.g., does it flex to diverse bordereaux requirements?
Can your system handle compliance challenges?
- Does your current system automatically handle compliance requirements and reporting, such as data protection and security, fair treatment of customers, and fair pricing?
- Is your current provider prepared for any upcoming regulatory changes?
SERVICE AND SUPPORT
Are you satisfied with the support your receive from your provider, including:
Downtime and reliability
- Does your provider ensure minimum downtime and that updates and fixes happen outside business-critical hours?
Are you happy with the level of communication and support from your provider?
- Do they respond promptly to queries and requests, including 24/7 support, ticket resolution, and a clear escalation process?
Account management and innovation
- Is your vendor proactive about suggesting system improvements?
- Do they regularly introduce updates and new products to help your MGA operate more efficiently and profitably?
MGA software is a significant investment, with the power to impact every aspect of your business and its future success. Retaining unsuitable legacy software can be a severe drain on business efficiency, customer satisfaction, and overall growth and profitability. So, if your current provider doesn’t tick all the boxes for where your business is now and where it wants to get to, the smart choice is to upgrade to a provider that will truly drive your business to the next level.
For MGAs and insurers seeking enterprise-grade software without the high cost, Insly is the low-risk partner proven to drive business growth. From underwriting and product development to our 100% accurate finance and accounting engine, plus innovative AI products, Insly’s flexible, end-to-end platform is built for the exact needs of insurers and MGAs. And with pricing linked to business growth, plus rapid implementation, it helps you scale, without the financial risk.
