Posted: 2017-12-07 20:32
88. The effective professional insurance regulator will be perceived publicly as a fair and diligent umpire between policyholders and insurers. This regulator will also guard the broader public interest served by the insurance industry, particularly the industry role in national capital markets (see the Puerto Rico example in Appendix E ). It is recommended that pertinent government circles more readily recognize in practice that the strength, growth, and social responsiveness of the industry will be directly commensurate with the strength, growth, and social responsiveness of the industry''s regulatory function.
Logistics Management as defined by the Council of Supply Chain Management Professionals (CSCMP): Logistics management is that part of supply chain management that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers'' requirements. Logistics management activities typically include inbound and outbound transportation management, fleet management, warehousing, materials handling, order fulfillment, logistics network design, inventory management, supply/demand planning and management of third party logistics services providers. To varying degrees, the logistics function also includes sourcing and procurement, production planning and scheduling, packaging and assembly, and customer service. It is involved in all levels of planning and execution - strategic, operational, and tactical. Logistics management is an integrating function which coordinates and optimizes all logistics activities with other functions, including marketing, sales, manufacturing, finance, and information technology.
76. The second challenge, that of reinsurance security, is of greater consequence than the first and is exacerbated by the recent turmoil in major foreign reinsurance markets (. the Lloyds market). Caribbean insurance companies, as never before, must exert every proactive effort at their disposal to determine the ability of reinsurers to deliver their reinsurance commitments fully and on time ( see Appendix D ). Inadequate reinsurance security is tantamount to gambling the solvency and survival of a primary insurance company. Reinsurance security similarly has to be a focal point for the regulator''s scrutiny. A single Caribbean reinsurance security clearing house would be advantageous in terms of effectiveness and efficiency perhaps the Caribbean Association of Insurance Regulators could examine a potential role for itself in this function.
Distribution: Outbound logistics, from the end of the production line to the end user. The activities associated with the movement of material, usually finished goods or service parts, from the manufacturer to the customer. These activities encompass the functions of transportation, warehousing, inventory control, material handling, order administration, site and location analysis, industrial packaging, data processing, and the communications network necessary for effective management. It includes all activities related to physical distribution, as well as the return of goods to the manufacturer. In many cases, this movement is made through one or more levels of fieldwarehouses. Synonym: Physical Distribution. The systematic division of a whole into discrete parts having distinctive characteristics.
The third parties can include our related companies, our agents or contractors, insurers, their agents and others they rely on to provide their services and products (. reinsurers), premium funders, other insurance intermediaries, insurance reference bureaus, loss adjusters or assessors, medical service providers, credit agencies, lawyers and accountants, prospective purchasers of our business and our alliance and other business partners.
Many types of vehicle operating data recording systems have heretofore been suggested for purposes of maintaining an accurate record of certain elements of vehicle operation. Some are suggested for identifying the cause for an accident, others are for more accurately assessing the efficiency of operation. Such systems disclose a variety of conventional techniques for recording vehicle operation data elements in a variety of data recording systems. In addition, it has also been suggested to provide a radio communication link for such information via systems such as a cellular telephone to provide immediate communication of certain types of data elements or to allow a more immediate response in cases such as theft, accident, break-down or emergency. It has even been suggested to detect and record seatbelt usage to assist in determination of the vehicle insurance costs (. Pat. ,667,886).
The results enable the Commissioner to monitor insurers'' accumulated catastrophe peril commitments against financial capabilities as represented by capital, surplus, reinsurance program, and Catastrophe Trust Fund contributions. Any shortfall in financial capability results in action from the Commissioner''s office requiring the company to balance the equation without delay, ., by the purchase of additional reinsurance or a reduction in commitments, or even face a suspension order.
98. Caribbean insurance companies have traditionally assessed the potential impact of catastrophe losses in closest collaboration with their reinsurers, and generally the latter''s views prevail. These approaches have included tabulating insured risks on catastrophe maps that display perceived hurricane tracks and seismic zones. Total exposures, split by distinctive catastrophe peril, are compiled. A Probable Maximum Loss (PML) percentage factor is applied to reflect assumptions as to the vulnerability of distinctive areas, construction types and structure occupancies. It is from this PML, or expected aggregate catastrophe risk exposure in an insurance company''s portfolio of issued policies that reinsurers determine the premium amount they require. Since they are characteristically assuming over 85 % of the catastrophe risks, reinsurers'' premium levels have a very high gearing effect on the premium level charged under the primary policy issued to the policyholder. As has been said, reinsurers have additionally seen fit to insist on policy restrictions such as deductibles and full insurance.
68. With the worldwide increase in the frequency of hazard events, international and bilateral donors have increasingly restricted their response to appeals for assistance. This has begun to manifest itself in donor countries'' budget and foreign-aid allotments, and thus a number of developing countries have become aware of the need to undertake mitigation and self-insuring steps. In this regard, this report analyzes the role of the insurance industry in contributing to the stabilization of financial risks associated with natural disasters, as well as other mechanisms whereby regional governments and multilateral institutions can begin developing contingency plans to reduce the economic volatility associated with such unpredictable events.
We also use personal information to develop, identify and offer products and services that may interest you, conduct market or customer satisfaction research. From time to time we may seek to develop arrangements with other organisations that may be of benefit to you in relation to promotion, administration and use of our respective products and services. See direct marketing explained in more detail further below. We do not use sensitive information to send you direct marketing communications without your express consent.
One of the useful consequences of the subject invention is that other products could be marketed to a particular vehicle operator based on information provided from the subject invention from the operator''s motor vehicle. Since the invention includes processes for gathering, extracting and analyzing information provided by the vehicle, a more informed judgment can be made about a determination of when and which products could be marketed to that motor vehicle operator. For example, by knowing that a vehicle operator travels on vacation in that vehicle to a certain resort location may give rise to a marketing of a package of products particular to the type of travel or the location. Another example would relate to the knowledge that the vehicle operator attends particular types of sporting events which may give rise to certain types of products catered to fans of that sporting event.
Target Costing: A target cost is calculated by subtracting the desired profit margin from an estimated or market-based price to arrive at a desired production, engineering, or marketing cost. This may not be the initial production cost, but one expected to be achieved during the mature production stage. Target costing is a method used in the analysis of product design that involves estimated a target cost, then designing the product/service to meet that cost.
Virtual Factory: A changed transformation process most frequently found under the virtual corporation. It''s a transformation process that involves merging the capabilities and capacities of the firm with those of its suppliers. Typically, the components provided by the suppliers are hose that are not related to a core competency of the firm, while the components managed by the firm are related to core competencies. One advantage found in the virtual factory is that it can be restructured quickly in response to changing customer demands and needs.
Supply Chain Management (SCM): Supply chain management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activites. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third party service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies. Supply chain management is an integrating function with primary responsibility for linking major business functions and business processes within and across companies into a cohesive, high-performing business model. It includes all of the logistics managment activities noted above, as well as manufacturing operations, and it drives coordination of processes and activities with and across marketing, sales, product design, finance, and information technology. as defined by the Council of Supply Chain Management Professionals (CSCMP)
Returns Processing Cost: The total cost to process repairs, refurbished, excess, obsolete, and end-of-life products, including diagnosing problems and replacing products. Includes the costs of logistics support, materials, centralized functions, troubleshooting service requests, on-site diagnosis and repair, external repair, and miscellaneous. These costs are broken into Returns Order Management, Returns Inventory Carrying, Returns Material Acquisition, Finance, Planning, IT, Disposal, and Warranty Costs.
Current motor vehicle control and operating systems comprise electronic systems readily adaptable for modification to obtain the desired types of information relevant to determination of the cost of insurance. Vehicle tracking systems have been suggested which use communication links with satellite navigation systems for providing information describing a vehicle''s location based upon navigation signals. When such positioning information is combined with roadmaps in an expert system, vehicle location is ascertainable. Mere vehicle location, though, will not provide data particularly relevant to safety of operation unless the data is combined with other relevant data in an expert system which is capable of assessing whether the roads being driven are high-risk or low-risk with regard to vehicle safety.
85. Practice drills for all personnel likely to be involved in the claims process are recommended to insurance companies. It is important that internal systems be tailored to catastrophe eventualities, because the overall claims settlement and reinsurance recovery processes are very information-intensive. Practice drills will hone management, public relations, and other skills to allow the transparency of operations essential to maintaining all round good will. Particularly important is the advance marshaling and training of an effective staff of adjusters to enable a company to portray a proactive, rather than reactive, response to claimants. The public relations function merits special focus, since the post-event image of an insurance company will depend on the image gained during adversity. A trained and energetic 79 hour help desk function goes a long way toward this objective. Policyholders need to know how to put together the information they need to press their claims and where to get practical help to safeguard their belongings.
We may obtain personal information indirectly and who it is from can depend on the circumstances. We will usually obtain it from another insured if they arrange a policy which also covers you, related bodies corporate, referrals, your previous insurers or insurance intermediaries, witnesses in relation to claims, health care workers, publicly available sources, premium funders and persons who we enter into business alliances with.
76. In establishing a regional pool and/or disaster reserve funds a number of analytical steps would have to be taken before specifying their financial structure and their framework for financial management and administration. From the perspective of multilateral institutions, any funding, contingent line of credit financing, or guarantee that might become available would most likely need to be coupled with real sector mitigation measures as well as insurance-sector regulatory measures, to ensure the lowest cost in premium payments and to maximize the coverage at the lowest risk. In addition, a prudent third-party financial manager would be desired to ensure effective investment of the assets and to enforce the premium structure on the basis of objective methodical studies that would determine the contribution levels by country, sector, or industry risk on a weighted-average basis.
Supply Chain-Related Finance and Planning Cost Element: One of the elements comprising a company''s total supply chain management costs. These costs consist of the following:
6. Supply-Chain Finance Costs: Costs associated with paying invoices, auditing physical counts, performing inventory accounting, and collecting accounts receivable. Does NOT include customer invoicing/accounting costs (See Order Management Costs).
7. Demand/Supply Planning Costs: Costs associated with forecasting developing finished goods, intermediate, subassembly or end-item inventory plans, and coordinating demand/supply.