Puzzled with a couple of insurance company assignment questions

[G.T]

I have this rather large assignment to do for College to do with data and information, and how it is used within a insurance companies. Questions consist of describing the characteristics and sources of the information, how it is used within the insurance company's departments, how data is processed into information, explaining the tools used to process the information and how it supports decision-making, and to explain data mining and predictive modelling.

It's a dire subject I am loathing right now, but I can do 80% of it. The parts I am having trouble with (and the tutor hasn't explain this at all, even after asking to explain it) is this:

"Using the example of TEY Insurance group (the made up insurance company), describe how information flows between different functional areas within that organisation. Present your finding visually in the form of an information flow diagram"

I have searched google to try and find a flow diagram for an insurance company, but with no luck, only other organisations. I can create one for a simple organisation like www.play.com, but I'm sure an insurance company's diagram would be a little more complicated. I'm asking for someone to draw one of these diagrams or for someone to explain the flow so I can draw one.



...and this, though this is not as important as the last question since it is for Distinction criteria:

"Explain how an organisation (TEY Insurance company) could improve the quality of its business information justifying each of their recommendations"

I'm not easily baffled, but.... what?


Any help on the subject will be very appreciated. None of my friends can help since they are considerably more stuck than I am.

 

[TB]

My search came up with these.

1

2 (this looks like a West Virginia University assignment, so use at your discretion)

Hope that helps.

 

[GilesGuthrie]

I have this rather large assignment to do for College to do with data and information, and how it is used within a insurance companies. Questions consist of describing the characteristics and sources of the information, how it is used within the insurance company's departments, how data is processed into information, explaining the tools used to process the information and how it supports decision-making, and to explain data mining and predictive modelling.

It's a dire subject I am loathing right now, but I can do 80% of it. The parts I am having trouble with (and the tutor hasn't explain this at all, even after asking to explain it) is this:

"Using the example of TEY Insurance group (the made up insurance company), describe how information flows between different functional areas within that organisation. Present your finding visually in the form of an information flow diagram"

I have searched google to try and find a flow diagram for an insurance company, but with no luck, only other organisations. I can create one for a simple organisation like www.play.com, but I'm sure an insurance company's diagram would be a little more complicated. I'm asking for someone to draw one of these diagrams or for someone to explain the flow so I can draw one.



...and this, though this is not as important as the last question since it is for Distinction criteria:

"Explain how an organisation (TEY Insurance company) could improve the quality of its business information justifying each of their recommendations"

I'm not easily baffled, but.... what?


Any help on the subject will be very appreciated. None of my friends can help since they are considerably more stuck than I am.

Well, an insurance company is a trader just like any other. What they do is sell risk. So if you look at an organisation like Play.com, and understand their information flows, you only need to add in the Risk calculation and mitigation systems.

So, an insurance company has customers, sales, support, services, claims management etc on the sales side. And on the product side there will be items such as research, risk management, risk impact assessment, reinsurance, mitigations. In the middle there will be a functional unit that pulls together the results from research, management and impact assessment, and then uses these to devise and sell products to consumers.

These sales activities, and specifically the claims management sections, will have huge feedback loops to the research/management/assessment stages that allow the company to gather information from itself. Perhaps you should specify these as options to assist with future decision making.

 

[Touring Mars]

In addition to what GG has just said (esp. with regard to the feedback part!)...

I took some of your own text and have added a general description which you could use as the basis for each 'box' in a flow diagram...

[*]describe the characteristics and sources of the information (DATA ACQUISITION)


[*]how data is processed into information (DATA PROCESSING)

-explain the tools used to process the information
-explain data mining and predictive modelling​

[*]how information is used within the insurance company's departments (DATA INTERPRETATION)


[*]how it supports decision-making (POLICY MAKING)

There's the beginnings of a flow chart right there...

"Using the example of TEY Insurance group (the made up insurance company), describe how information flows between different functional areas within that organisation. Present your finding visually in the form of an information flow diagram"

Given the examples above, you could present the chain of information flow something like this:

Data Acquisition ---> Data Processing ---> Data Interpretation ---> Policy Making

In each case, you can explain what each step might involve, and also suggest ways to minimise errors (fact checking, quality control, research, statistical anaylsis etc.) and feedback (reports, interdepartmental communications etc.)...

A feedback loop, from the end of the process i.e Policy Making (premium setting, risk assessment etc.) to each of the earlier stages would ensure that the policy makers can influence each stage of the process as they see each of their policies/decisions affecting the performance of the company. The profits and success of the company is also a source of information/feedback that tells the policy makers how well they are doing!

Explain how an organisation (TEY Insurance company) could improve the quality of its business information justifying each of their recommendations"

That could be as simple as taking a closer look at each step in the chain and asking a few questions like "Is their sufficient communication between different sections/departments throughout the information chain, from source to the policy makers?", "Are there systems in place to ensure that ideas/policies/recommendations are being implemented?", "What is our market share, where are our competitors beating us, and what areas of our business could be/need to be improved?" - any or all of these jobs can be done by hiring a firm of consultants to do an audit, or from within a company itself.

 

[TheCracker]

Being heavily regulated as it is, all insurance companies have a 'compliance' dept. All new business will have to go through an 'underwriters' dept too. James your best bet would be to get in touch with either the financial services governing body, the CII, or perhaps approach one of the bigger insurance companies directly for information.

*edit*

Sorry James, linked you to the wrong organisation!

- It's the FSA who regulate the insurance industry in the UK.

This might be a good starting point if you decide to try and get the info you need from an insurance company itself.

 

[G.T]

Thanks for the help so far. 👍

TM - That is exactly what I'm working on right now, but that is the question for M1 - how data is acquired, processed, validated, etc. P3, the question with the flow diagram, wants a flow diagram on the departments within the company - sales, marketing, finance, etc. How information flows between these departments to create a policy, to deal with an insurance claim, etc... I'm not not 100% sure of the order the information "flows" between the departments for the claim or for the policy to be created. I should have made that a little clearer before. It's probably something simple in the end.

Cracker - yes, it would be good to contact them, but my tutor said I wont need to until the second assignment... It's a little late now anyway - I should have made the thread earlier since it's due in next Monday. Unless they will reply quickly.

 

[Danny]

Did you not get any more information on it? Worksheets and what not?

Also I like insurance companies, we should all be one.

 

[G.T]

Did you not get any more information on it? Worksheets and what not?

Also I like insurance companies, we should all be one.

Yep, but it doesn't explain Pass criteria at all, only Merit.

 

[Touring Mars]

a flow diagram on the departments within the company - sales, marketing, finance, etc. How information flows between these departments to create a policy, to deal with an insurance claim, etc... I'm not not 100% sure of the order the information "flows" between the departments for the claim or for the policy to be created.

Hopefully they want you to summarize a general scheme rather than a detailed working knowledge of a real insurance company... I have no clue as to the detail, even though I used to work in an insurance company myself for two years!! But perhaps this might help you get an idea of the different jobs/roles involved... Perhaps it is part of the exercise to see how you think these different sections could/should interact with each other...?

 

[G.T]

Perhaps it is part of the exercise to see how you think these different sections could/should interact with each other...?

I wouldn't be surprised. Thinking about it I remember her quickly drawing a diagram on the board about how the departments interact with each other when making a policy, but she never completed it and we weren't in a computer room at the time, so I never recorded it.

It was something like Customer ---> Call center ----> Sales ----> ...