Overview– Implementation Context– Implementation Scope– Implementation Timeline– Keys to Success– Questions

Implementation Context1. A start up operation has its advantages

– No Conversion– No Legacy Constraints– No production support (initially)– Single State (California)

2. On the other hand– No product, (forms, rates, etc..) – No System – Limited resources to start with

• 1 developer, 1 business analyst, 2 testers• 3 underwriting, 1 claims, 1 operations, consulting actuaries

– No reporting

Implementation Scope1. Billing -- 2 pay plans (10 pay and full pay)

2. Claims -- Limit changes to only what was absolutely necessary to administer claims

3. Policy Administration and complete products, (forms, rates, etc..)

– First Phase • Business Auto – 11 coverages, 57 Forms• General Liability - 2 coverages, 223 forms• AGOP - 74 coverages, 40 forms

– Second Phase• Commercial Umbrella (carry coverages from underlying)• Farm Property 41 coverages, 45 forms• Farm Liability 16 coverages, 34 forms • Farm Umbrella 33 forms

Implementation Scope

4. Limited – Workflow – Correspondence (Claims only)– Cosmetic or validation request– No scanning and Imaging, manual attachments– Integration in initial implementation

– General Ledger– Vin Verification

– Agents Portal

Development Timeline

11/1/2010 6/30/2011

12/1/2010 1/1/2011 2/1/2011 3/1/2011 4/1/2011 5/1/2011 6/1/2011

11/29/2010 - 12/17/2010Sprint 2

(Base GL) 12/20/2010 - 1/21/2011Sprint 3

(Base AG OP)

1/24/2011 - 3/4/2011Sprint 4-6

(Comm. Umbrella &Additional Coverages)

3/7/2011 - 3/25/2011Sprint 7

(Farm Dwelling

11/5/2010 - 11/24/2010Sprint 1

(Base BA)

3/28/2011 - 4/15/2011Sprint 8

(Farm EFG)

4/18/2011 - 5/6/2011Sprint 9

(Farm Umbrella)

5/9/2011 - 5/27/2011Sprint 10

(Production Validation)

Keys to success1. Decision Making

– Shift decision making based on results vs. what was planned (ties with agile development/sprints)

– Remove bureaucracy (committees, reviews, etc…) – The fewer involved the better

2. Dedicated resources – Executive sponsorship and support – Blur the line between business and IT (highly collaborative)– Right people

• Willing to accept change• Flexible, do whatever it takes, get hands dirty• Knowledgeable

Keys to success3. Choice of Vendor

– Suite versus best of breed• Ease of integration• Completeness of solution and current technology (out of the box)

– Web based UI and portal– Workflow, Rating, Rules,– Document and forms management– Scanning and imaging– Reinsurance– Stat reporting and business Intelligence

– Insurance knowledge and approach– Configurable versus Customizable

• 3 hours to design, configure, attach a form• 4 hours simple rating algorithms (unit tested), medium 8, complex 12• 1 hour to add a field to a product, tile change, available to rating• Complete new screens 4 hours• 24 hours to add composite rating (screens, rating, print)

Keys to success

4. Change the Paradigm– Follow 80/20 rule (there will be a phase 2) – Hosted model to speed delivery– True partnership with vendor, trust, transparency– Accept change

5. Follow the process– Daily stand up meetings, review meetings, etc.. – Commitment to remove impediments– Self managed but guided teams– Focus on managing scope inside of sprints– Just in time delivery

Keys to success

6. Testing– Adequately plan and manage QA and UAT testing – Early business involvement– Embrace defects (requests for change) and keep moving forward

Questions