Collaboration in Multinational Insurance & Cricket!
Global Insurance Programs were once tagged as the largest of entities. However, the world has become increasingly connected, and globalisation is mandatory for many SME businesses to remain relevant and competitive.
The worldwide regulatory environment continues to evolve, and insurance and tax authorities around the globe are paying more attention to insurance-related transactions. As a result, compliance challenges are being created and can result in regulatory enforcement actions and complicated tax consequences. Every country presents a unique set of issues; there is no one-size-fits-all approach.
But, to place a business in each jurisdiction, risk management teams, regional hubs and underwriters must go through a series of conversations and collaborations with their counterparts and partners to gain a proper appreciation and review of risk exposure, risk assumptions, and income statements etc. Perfect choreography of activities and tasks need to be performed to reach a specific mission’s fullest potential, not unlike a game of cricket.
Cricket is played with 11 players, and every single player has a unique and vital role. Everything is about the team in cricket - and multinational program coordination is no different. Batsmen, bowlers, wicketkeepers, fielders and coaches; everyone collaborates, bringing their competitive edge to the team to attain sustainability, just like a lead insurer, regional underwriter, regional hubs, coordinators, direct network partner, broker etc.
Research conducted by The Hartford observed many mid- to large-size companies are not adequately insuring international exposures.[1] Of those surveyed, 41 percent, said they do not usually have detailed conversations with their broker or agent about the available multinational insurance options. What is stopping them? It could be a lack of technology support to facilitate such heavy coordination. Receiving a barrage of 100s of emails doesn’t help either.
Now imagine a technology solution that
allows all actors of a transaction to collaborate, and coordinate globally on a consistent basis, sometimes in the local language, on the platform
choreographs a list of tasks in a specific sequence and guides the user through the next set of activities they need to perform to progress the multinational program
creates an environment for partners to discuss tax, regulatory, underwriting, coverage specification, financials etc. with others such that everyone sees the “single version of the truth” and knows exactly where each party is in the overall process
In other words, such a solution would carry the burden of coordinating administration overheads so underwriters can focus on the technical aspects of getting the right coverage and program specifications.
[1] https://s0.hfdstatic.com/sites/the_hartford/files/multinational-executive-summary.pdf