The complex digital world of Medical Professional Liability (MPL)

Medical Professional Liability (MPL) is an information juggernaut. The volume, myriad sources and constant change of data make it uniquely challenging to model, price and handle large schedule policies and process complex claims  ̶  not to mention the amount of paperwork involved.

Representatives from Duck Creek Technologies, Hyland and leading MPL insurer Coverys sat down to chat about those complexities and propose a course of action for insurers during a recent webinar. Experts, including Eric Crockett, VP of IT at Coverys, Lyn-Ellen Maass, director, business architecture for Duck Creek Technologies, and Charlie Hanna, director, Hyland Insurance Solutions, presented an oral case study on implementing dynamic software solutions with the power to underpin the operations of today’s most complex and challenging data environments.

The group set the table by reviewing challenges most MPL insurers face on a day-to-day basis, including the management of sensitive, complex data, dealing with a high volume of paper-based information and workflow, and the overall size of policy schedules.

These challenges are not necessarily unique to MPL insurers, explained Scott Fitzgerald, CMO, Duck Creek Technologies, who moderated the panel. “Novarica did a study of general CIOs across the P&C industry and issues around handling business intelligence with data and being able to do analytics are all top of mind, as well as the ability to move with speed and the need to move quickly,” he said.

The greatest threat to incumbent carriers

When asked what he thought was the single greatest threat that incumbent carriers face today, Crockett homed in on consolidation. “Large hospitals continue to consolidate,” he said, “and usually, at that point, self-insure, which takes them off the commercial marketplace, an obvious threat to carriers. There’s also consolidation among carriers, too.”

Also of concern is cybersecurity and privacy, said Crockett. “As carriers become more digital and do the things we’re talking about here, they become more susceptible to this type of activity.”

The top initiatives carriers should prioritize

Carriers should figure out how to use data more effectively, the panel agreed, which would boost both business development and the sales process. Also, for MPL insurers, this would increase patient safety, a win-win as it manages and reduces risk for both the carrier and patient.

Hanna underscored the need for insurers to go digital, be cloud ready, and embrace accelerated solutions. “Gone are the days when carriers go out and buy a piece of technology to deploy over the course of five or 10 years,” he said. “Insurers need to do this, and they need to do it rapidly.” Today, carriers need to leverage technology to get solutions into the marketplace quickly to respond to a rapidly changing industry and customer need.

After core system modernization, what transforms next?

“Once core systems are enabled and ready, carriers tend to modernize analytics and fine tune by using those analytics,” said Maass. For example, by analyzing data, Coverys discovered it was always accepting a certain type of risk with specific data qualifications. There was no need to extend the process by having someone review the information. This discovery led Coverys to enable straight-through processing for some of its products.

“It’s more than understanding the analytics. It gets back to customer experience, as well,” said Maass. “You want a UI for your customer or your agents that flows, makes sense to them, and is responsive and quick. No one likes to enter a bunch of data only to hear, ‘Well, we’ll get back to you.’ They want immediate answers.”

Find out what else the panel had to say about today’s digital challenges for MPLs and insurers. Check out “Taming Complexity and Boosting Speed for Medical Professional Liability Insurers” now.

Cara McFarlane

Cara McFarlane recently joined Hyland as the global portfolio manager for its insurance vertical. In her role, she is responsible for leading the software company’s strategic marketing strategy to effectively position OnBase as a leading enterprise information platform within the insurance market. Cara oversees all marketing initiatives to plan, execute and manage Hyland’s insurance marketing tactics including lead generation, tradeshow management and development of collateral. With more than 17 years’ experience in the software industry, Cara advises organizations on best practices to digitize processes and become more efficient.

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