Desperately Seeking SEMCI? Producer Views That Might Change The Debate
| Boston, MA, USA June 30, 2004
Desperately Seeking SEMCI? Producer Views That Might Change The Debate Insurance
Single Entry Multiple Carrier Interface (SEMCI) is clearly good for independent producers. But do SEMCI benefits outweigh its cost to carriers?
The SEMCI debate seems to thrive on unchallenged assumptions. Celent's latest report, Desperately Seeking SEMCI? Producer Views That Might Change The Debate, explores these assumptions from the producers perspective.
"SEMCI is a great idea if youre a producer," says senior analystCraig Weber, author of the report. "But the benefits of SEMCI for producers come at a considerable cost to carriers."
"The technology cost is only the beginning," Weber says. "Commoditization of products and core services like new business makes it hard for carriers to differentiate themselves. And in any case, SEMCI is a luxury item for producers, well behind product and price as a key driver of carrier choice."
Weber adds that agency management systems and producer portals overlap in terms of functionality. "The portals tend to deliver richer functionality, which also offsets the value of SEMCI in many cases," he says.
A key finding of the report is that over half of all producers surveyed said they would use either agency management systems or proprietary carrier systems, as long as those tools make their job easier. (See Figure 1.)
The report summarizes producer views on a variety of issues related to use of agency management systems and proprietary carrier systems. It is based on a survey administered to independent producers in June, 2004.
Other key findings discussed in the report include.
ATable of contents is available online.
of Celent Communications' Property/Casualty Insurance research service can download the report electronically by clicking on the icon to the left. Non-members should contact email@example.com for more information.