1997 SEMCI
CONFERENCE HIGHLIGHTS

Attendance at the APT SEMCI Conference was up by 25%, to 150, including representatives from 34 carriers, the IIAA's Agency Management & Technology Committee and vendor user groups. While some concern was expressed about the pace of SEMCI implementations, the overall tone of the Conference was extremely positive, particularly with regard to all that has been accomplished by the leading vendors, carriers and APT.

Following are the highlights in the order of presentation of the 17 reports given by carriers, vendors, network providers, the IIAA and APT.

APT

Presenter: Joe Misner, Vice President Technical

Highlights:* webSAM™: new APT product due first quarter 1998

* Client-server design offers Stand Alone Module™ in a browser

* Preserves carrier and vendor investments in APT

* Supports ACORD electronic standards and forms

* Runs on any Internet Protocol network

* Piggybacks on existing user security

State Auto

Presenter: Nancy Edwards, Director of Special Projects

Highlights: * Agents want more SEMCI

* State Auto upload philosophy: It's time to "just do it"

* 255 agents uploading; 400 by year end 1997

* 185 agents doing 8,000 policy changes per month
Increasing by 20-30% per month

* 70% of changes processed without human intervention

* Full image change processing is way to go

Royal

Presenter: Barry Hollandsworth, Manager, Personal Lines Agency Automation

Highlights: * Doing download 10 years

* 1996--"Just do it" year for upload

* Agency survey of principals and CSRs--94% response
84% automated--89% say SEMCI is critical

* Conducting countrywide SEMCI showcases for employees and agents

* Start change processing upload in fourth quarter 1997

* See future in Internet--APT webSAM welcome addition to product line

CNA

Presenter: Nelson Allen, Director, Personal Lines Agency Automation

Highlights: * Agents want SEMCI

* 62 agents uploading; 439 by year end

* SEMCI planned for all states; 23 now; 40 by year end

* Start change processing fourth quarter 1997

* Be sure to take APT training

* Giving free APT modules to agencies with one-year free maintenance

* Slow vendor integration limiting APT agency roll-out potential by 50%

Westfield

Presenter: Jim Clay, Vice President Corporate Automation

Highlights: * Five-month personal lines upload pilot with 25 Ohio agencies using SIS

* Evaluating pilot results from 589 apps and 2,817 policy changes

* Agents "love" policy change facilities

* Created 859 edits for Home/Auto/Package: new business and changes

* Edit development: 2,100 hours: Auto/HO 1,400; Package 700

* APT and ACORD provided training

* Insurers must consider agency workflow issues

* All data must be available in the agency, including company-uniques

* Too few agents are APT-enabled

SIS

Presenters: Craig Segbers, Vice President Strategic Development

Craig Heere, Manager Product Development & Support

Highlights: * SIS products 100% APT-enabled: use Agency Module™

* Supports commercial and personal lines new business/changes (full and partial)

* 60% of SIS agencies uploading changes

* 100% support for carrier-unique data including changes

* Provides full range of SEMCI services including carrier training

* Present upload partners: Arbella, Central Mutual, Meridian, State Auto, Travelers, Utica, Westfield--seeking more!

AMS

Presenter: Dick Eagle, Executive Vice President Development

Highlights: * Will use APT SAM across product line

* Strategic products: AfW, Prime, Sagitta

* Non-strategic products: PathFinder, Premier

* Have centralized interface development

* 2,000 free SAM licenses offered agencies
800 signed up by mid-year; expect 2,000 by year end

* Begin integrated and non-integrated SAM delivery during third quarter 1997

* Change processing available during 1997

IVANS/BWC

Presenters: Dan Carmichael, President & CEO, IVANS

Bill Tedrick, President, BWC

Highlights: * Drive toward SEMCI now stronger than ever

* Year 2000 issue has slowed SEMCI progress

* IVANS' SEMCI Services: one-stop shopping for all agency-company interface services including APT Company Module™ distribution to small/mid-size insurers

* NetConnect: allows some 59,000 trading partners to utilize Internet while preserving legacy systems

* APT software NetConnect compatible

Delphi

Presenter: Greg Gamp, Vice President Strategic Planning

Highlights: * Announced major Delphi commitment to APT integration and roll-out in 1997

* Will use APT Agency Module for Insurnet

* Will use APT SAM for remaining legacy and new systems: INfinity, PC-Elite, cd.one, cd.connect

* APT webSAM likely to fit with Delphi strategy

DORIS

Presenters: Tony Wilkie, President

Mike Mansperger, Internet & Interface Director

Highlights: * DORIS celebrating its 10th anniversary

* All product offerings APT-enabled via Agency Module

* Change processing available in all offerings in third quarter 1997

* AIS: New inexpensive upload/download offering

* Excellent marketing and implementation support from APT

iiX

Presenters: David Hunter, President & CEO

Jim Luscombe, Senior Vice President

Highlights: * Provides single, logical insurance industry connection allowing anyone-to-anyone communication

* Committed to making SEMCI work for agents and carriers

* iiX InterLink supports batch and interactive upload and batch download

* APT software InterLink compatible

* APT redistributor: 2,300 iiX-capable SAMs being distributed to agencies

Penn National

Presenter: Dave Jakowski, Director Personal Lines Marketing

Highlights: * 450 personal lines agencies

* Initial target 200-plus agencies uploading beginning 1998

* 60% of 200-plus uploading agencies use APT vendors

* Supporting home and auto for new business and change processing

* User groups must demand SEMCI from vendors

* Vendors need to increase pace of SEMCI implementations

* Have selected APT CSAM offering for PNI internal processing

Norfolk & Dedham

Presenter: Bob Wychulis, Vice President Information Technology

Highlights: * 35 agents uploading; 80 by year-end 1997

* Supporting home and auto for new business

* Policy change pilot under way

* Man months to do upload development: edit developer--6; programmer--6

* Using APT upload; IVANS transmission; BWC download

Utica

Presenter: Sharon Jachim, Assistant Vice President, Manager of Services

Highlights: * Agency-company interface a strategic objective

* 30 upload agents by year end 1997

* APT selected since some 80% of agents use APT vendors

* Present APT offerings leverage existing technology

* Excited about webSAM potential to take advantage of new technologies

* Year 2000 issue has slowed pace of interface

* Vendor readiness a critical issue

Meridian

Presenter: Kathleen Shawhan, Agency Interface Manager

Highlights: * SEMCI beyond proof of concept; 240 agents uploading

* Insurers and vendors must move faster to enable "M" in SEMCI

* Began APT upload November 1995; first production agency April 1996

* 42 APT production agencies; 150 by year-end 1997

* By year end 50% of personal lines new business done via upload

* Agents require some initial SEMCI training

* Uses BWC for data translation

Travelers P&C

Presenter: Dick Cuozzo, Director of Personal Lines Agency Automation

(presentation delivered by Mr. Cutro due to last-minute schedule conflict)

Highlights: * 85 production agencies; 150-200 by year end

* In production, pilot or test with all available vendors

* Supporting new business for auto and home

* Will pilot auto policy changes in early third quarter 1997

* Will pilot home policy changes in fourth quarter 1997

* Using ACORD partial image Standard for changes

* Merger slowed SEMCI implementation; regaining momentum

* Targeting former Aetna proprietary agencies for switch to SEMCI

* Internally using ACORD download and APT upload to transfer blocks of business to new company systems

IIAA

Presenter: Shirley Lukens, Vice President

Highlights: * SEMCI key to agency survival and prosperity: agents must lead the way

* APT tools well beyond proof of concept

* SEMCI works for endorsements--thousands being processed monthly

* Agents must press vendors for comprehensive SEMCI facilities

* Without multiple-company usage SEMCI no different from proprietary offerings

* More insurers and agents need to get going with SEMCI and APT

* New APT webSAM product offers clear migration path to Internet and object technology