Premium Accounting & Settlement, Broker phase two, Insurer phase one

ACORD-standardised messaging, EBOT, will be available from phase two. In this scenario, the broker, who is in phase two, can trigger the premium accounting process via EBOT (both XML and API variants will be supported).

The broker’s choice of whether to use EBOT does not affect the insurer, who is still in phase one in this scenario. The insurer can keep operating in the same way as they did in phase one.

The broker can also use the IPOS Market Portal for generating EBOT submissions to trigger the accounting process, as an alternative to generating messages via their own systems.

IPOS, which has gone live in phase one, is the premium processing platform replacing LIDS. In phase two, if the broker adopts the EBOT process, this will enable a higher level of automation of Velonetic’s (previously London Market Joint Ventures’) processes of accounting & settlement.

In the case of a new transaction on an original premium which is held in legacy platforms (e.g., LIDS), such as in the case of endorsements, Reach Back will find the old premium data and bring it to IPOS, for a central view of the premium and premium history.

Both insurers and brokers (regardless of what phase they are in) will be able to manage queries via the IPOS portal, this will not change from phase one.

In the Validation and Queries step, brokers who have adopted phase two can use EBOT to answer queries from Velonetic.

The Market Gateway (ASG Adept) will remain unchanged from phase one. All EDI or EBOT messaging will go through the Market Gateway (ASG Adept).

Both insurers and brokers will be able to view details of the signing on the IPOS portal, a functionality similar to Account Enquiry. Please note, this is not a reconciliation tool and will not contain the full data required to do reconciliation of transactions. This will not change from phase one.

The Market Gateway (ASG Adept) will remain unchanged from phase one. All EDI and EBOT messaging will go through the Market Gateway (ASG Adept).

Insurers who are still in phase one will receive Standardised EDI messages as they do in phase one.

Net settlement will still occur through Central Settlement. Central Settlement is not changing and will still work via STFO for Lloyd’s and via RBS for the company market.

It is expected that there will be no changes to Central Settlement bank accounts. Central Settlement is expected to work as it does today but with feeds from the new digital services rather than the existing ones.

Direct Settlement will remain unchanged from phase one.