Special Section sponsored by TMPAA

NetRate Systems, Inc.

Introducing the NetSynergy “Black Box” Rating Service

To submitting agents and brokers, the “face” of a carrier, MGA or program manager is often its web presence. The importance of this “face,” its consistency and feel, is critical in gaining brand recognition in the insurance Web market space. NetRate Systems, Inc., of Okemos, Michigan, recognizes this and recently introduced a new concept in implementation of Web-based policy rating systems that enables MGAs, program managers, and carriers to “put your own face on rating.”

It’s the NetSynergy “Black Box” Rating Engine and with it, NetSynergy gives IT managers the power to design and build a user interface with the look and feel of their Web site, while allowing NetRate to handle the time consuming, challenging task of maintaining and managing ISO content and algorithms.

NetRate’s NetSynergy Rating Engine

The power behind NetRate’s implementation of “Black Box” rating lies in three important components:

• First, and most important, the NetSynergy Rating Engine is the product of 20 years of development expertise in property and casualty policy rating. Built with powerful capabilities, useful program modules, and ISO content supplied through our ISO business partnership, NetRate’s NetSynergy Rating Engine drives the calculation process that produces program policy premiums quickly and efficiently.

• Second, NetRate’s proprietary XML input into the NetRate NetSynergy Rating Engine means that IT personnel will have an easy and straightforward way to collect the data necessary to drive the NetSynergy engine.

• Third, NetRate support, both in terms of documentation of the XML and in terms of consulting assistance in the implementation of the NetSynergy engine, assures a smooth, fast implementation path. Additional support assistance comes in the form of a toolbox of programs that allows your IT personnel to adjust LCMs and other company-specific information on the fly. The end result: a seamless collaboration between your IT staff and NetRate’s products and services, and a web enabled rating system that your submitting agents and brokers will clearly identify as yours.

NetRate and the MGA/Carrier Niche

NetRate Systems produces rating programs designed specifically for the MGA/small carrier marketplace. We’ve developed a significant niche in providing ISO-based and customized programs for program managers. Working in concert with several different forms/policy issuance systems and policy administration systems to seamlessly integrate data into downstream programs, NetRate provides high quality, accurate sales and processing software that enables program managers to price their products quickly and easily for prospective insureds. Using the built-in NetBind Policy Life Cycle Module, NetRate can move a quoted prospect to bind policy status, then later process endorsements, cancellations and reinstatements, and renewals, too. NetRate President Dave Jordan observes, “Our customers tell us that rating is more than quoting. It’s an ongoing process that must be available throughout the life of the policy. Anything less is insufficient.”

Policy Life Cycle Rate Processing

The NetBind Policy Life Cycle Module is one of several fully integrated modules which make up the NetRate System. NetRate’s rating modules comprise the main rating engine, and include not only the calculating processes, but also either Microsoft desktop or internet browser user interface versions. Commercial lines rating modules are based around ISO® rates and rules, but a key component is NetRate’s agility in providing customized, tailored solutions that “tweak” off-the-shelf ISO® products to fit specific carrier program implementations. As Dave Jordan sees it, “NetRate’s appetite for tailoring our rating products to fit specific carrier requirements places us in a unique position to be a relatively low cost provider of custom rating solutions.”

Helping Start-up Operations

NetRate also found a unique place in the MGA world by helping MGAs and program managers who are considering start-up operations for specialty programs. NetRate’s ability to adapt its rating programs to fit unique specialty packages allows start-up operations to “hit the ground running.” This capability is often the decision maker when specialty carriers are considering MGAs to be their program administrators. It’s NetRate products that become the highly functional, relatively low cost rating solution for these start-up ventures. *