Strategic Plan for an On-Line Health Insurance Retailer
Business Problem:
A large health care insurer began an internet initiative to sell health, dental, and vision on-line over the internet directly to the consumer in 49 states. The goal was to add a direct distribution channel that eliminated the agent.
The new system was required to provide the following features and functionality on-line via the web directly to the consumer organized by state:
- General advertising material
- State-specific information
- State-specific quoting
- State-specific enrollment (optional automatic binding)
- Seamless back office integration for enrollment processing and underwriting with the TPA
- Seamless carrier product material/quoting integration
- Portfolio manager for cross-marketing facilitation
- PDF forms fill in and distribution (e.g., physical policy)
- Credit card processing for initial premium
- Commission calculation mechanism for click through suppliers (e.g., AOL)
Solution:
RESolutions Consulting, acting as the CIO, developed the IT plan, designed the computer/network architecture, and wrote the application specifications. Also, RESolutions Consulting managed the implementation of the above initiatives as well as all carrier integration, and call center operations. The application was fully operational in 120 days and was the first internet retail web site to sell insurance directly to the consumer.
Return on Investment (ROI):
The following is a partial list of the ROI achieved by the insurer:
- Improved quality and processing time of Underwriting operations and supporting functions
- Improvement in operating performance related to manual and paper-based processing that will be automated or streamlined through improved information systems
- Auditable accuracy and validity of data and a reduction in redundant data entry to non-interfaced systems and applications, currently resulting in errors and omissions and increased processing time
- Enhanced and expanded management reporting and decision support capabilities
