Business Continuity and IT Disaster Recovery for Insurance Companies
Avalution has helped insurance companies of all sizes successfully overcome their business continuity and IT disaster recovery challenges. If you’re looking for assistance with building or improving your business continuity program, contact us today.
ENSURING CONTINUED OPERATIONS
The worlds of insurance and business continuity are closely aligned due to the focus that each has on managing risk. And, the ability to operate in the face of a disruptive incident is a key to business success. Adding-on state (and federal)-based insurance regulatory requirements and the renewed emphasis on governance is reason enough that more and more insurance companies are embracing business continuity – or should be. We’ve worked with numerous insurance organizations to build and mature business continuity and IT disaster recovery programs that align with regulatory and management-defined requirements. We will work with you to design a program focused on continuity improvement and execute planning activities such as the business impact analysis, response/recovery strategy identification, plan development, exercise planning and facilitation, and training and awareness content development. Are you ready to get started? Let's connect!
State and federal regulations regarding business continuity are sometimes vague and varied, yet having a well-developed and strong business continuity management system in place is the foundation to meeting the required framework and threshold for response and recovery. Many jurisdictions mandate that preparedness regulatory requirements mandate that insurers take the necessary steps to develop a business continuity program that would reasonably ensure the recovery of key business processes. This guidance often requires validated testing and continued plan maintenance, addressing all critical business activities, such as financial functions, communication abilities, and technology services.
ANSWERING THE CALL
- "Typical" corporate support processes (e.g., human resources, payroll, accounting, investor relations, legal, corporate communications)
- Key processes contained within core lines of business (e.g., auto, home, life)
- Actuarial services
- Claims reporting and claims payments
- Call centers or customer service communication
- Policy issuance and mail handling
- Billing and collections
- Investments and cash management
- Technology support (data integrity and intellectual property)
- Records retention
- Field operations
The process of designing, developing, and implementing a successful and appropriate business continuity program paves the way for the success of the insurance organization when faced with a disruptive incident – serving existing customers, as well as billing, paying claims, endorsements/renewals, and new business. The nature of the insurance industry is competitive enough – the decision to embrace business continuity should not be difficult when facing the consequences of reputational impairment and market share loss.
- Property and Casualty Insurance ProviderPerformed a program assessment, culminating in a comprehensive table-top exercise designed to increase executive management awareness and identify crisis management strategy enhancements. Followed up with a project designed to address the risk of personnel loss due to a public health event (e.g. pandemic). Developed and deployed risk mitigation, crisis management and service continuity strategies – all based on a staff analysis process customized for this client’s needs. Result – A focused, balanced strategy that aligned with existing business continuity program capabilities.
- Health Insurance ProviderPerformed a program assessment designed to increase management’s ability to meet the most stringent response and recovery objectives; delivered a two-year plan to meet business objectives. Result – Focused limited resources on the most significant risks facing the organization – aligned business continuity with IT availability programs, as well as enterprise risk management.
- Life Insurance ProviderExecuted a risk assessment focused on identifying high probability and high impact events where controls were either unavailable or failing to operate effectively. Rallied C-suite executives around the need to make strategic, enterprise risk management improvements, which included strengthening (and adding repeatability to) business continuity processes.