9Insurance Business ReviewAPRIL 2025Reporting and Regulatory ComplianceOne of the benefits of having simplified and standardized data is it allows the captive to streamline and automate reporting. This is particularly true for regulatory filings, actuarial reporting, audits and policy renewals. The system should automate these reports and by maintain comprehensive records, simplify compliance and reduce the risk of breaches.Enhanced Communication and CollaborationFor captive owners, RMIS facilitates better communication and collaboration with carriers, captive managers and brokers. For years carriers have been seeking ways to integrate data with assureds. For them it allows better access to the risk and for the assured a better argument for lower pricing. Though carrier silos still prevail, many are rolling out RMIS access or allowing integrations with RMIS providers to facilitate this knowledge sharing. The same can be said for captive managers and brokers. Both hold some or all of the captive owners' information and recently, they too have begun to open up to captive owners through integrations or their own RMIS. As captive owners and their internal management have become more accustomed to readily available Information, this expectation is now finding its way to the captive managers and brokers with RMIS often the main arena for this transfer of data.The Negatives of RMIS:Costs and ComplexityA captive RMIS is subject to all the pitfalls of any system implementation. These include cost increases due to time delays and scope creep. These can be mitigated through thorough vetting of vendors, collaborative planning, goal setting with internal management and learning to say no now so the system can go live and gain transaction. The "no" today can be more successful as a "yes" tomorrow. Data Quality IssuesAs mentioned above good data is imperative. Nothing will undermine trust in a system faster than bad data. Always know where your data comes from and vet it after it is in the system. By planning time to do this upfront, you go a long way to a successful implantation. By putting a check process in place for ongoing data you will set the system up for a long-term success.Resistance to ChangeResistance to new technology is a common obstacle. Many people are creatures of habit and are resistant to change. Letting them know how the RMIS affects them personally and everyone else and creating familiarity with the system through training and engagement goes a long way to overcoming this resistance and will eventually facilitate a comprehensive adoption of the RMIS.RMIS for a captive owner offers significant benefits, including better data management, improved efficiency, automated reporting and ease of communication. However, these advantages come with challenges such as costs, data quality, and resistance to change. Balancing these factors requires careful planning and consideration from Risk Managers, captive managers, and carriers alike. By understanding both the benefits and challenges, captive insurance owners can make informed decisions that leverage RMIS technology to drive greater effectiveness in their risk management strategies. From carrier ratings, policy exclusions, causes of loss, vendors and ERM, a simple and standardized data implementation will serve a captive well
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