Evaluate Business Partner

SICS offers several means of assisting you in determining and monitoring the financial situation of your business partners. It assists you both in evaluating the partners' general financial situation, as well as the particular financial situation with your company.

Analyse Key Figures of Business Partner #

SICS lets you register annual financial figures published from your business partners' accounts. Examples of key figures are Gross Premium Written, Premiums Earned and Claims Incurred.

Register Financial Figures for a Business Partner #

1. Find and open the Business Partner you want to enter financial results for. You see the View Business Partner window.
2. Click the Details tab.
3. In the Properties column on the left-hand side, select Key Figures. SICS shows the Key Figures display list on the right-hand side of the window.
4. In the Key Figures display list, select New in the pop-up menu. You see the Create Key Figures window.
5. Enter the required information and click OK.

Field description 4. - Key Figures

Examine Actual Results of Facultative Business for Partner #

To assist facultative underwriters analysing a business partner’s portfolio, SICS offers a Facultative Analysis tool. The tool provides detailed information about your accepted facultative businesses per underwriting year. You can, for example, look at:

• Summary of premiums: accepted vs. booked
• Claims: paid vs. reserved
• Number of businesses.

Before you can run the analysis, you need to:

• Find the businesses, business groups you want to include.
• Customise the business list according to your requirements by excluding/including businesses and business groups in the display list.
• Set the calculation basis criteria.

Find Relevant Partner(s) and Businesses to Analyse #

1. Click the Business Partner Facultative Analysis icon in the Partners folder on the SICS desktop to open the Find: Business Partner Facultative Analysis window. (Alternatively, click the Partner Facultative Analysis icon from the Business Partner.)
2. Enter the required information (e.g. Classification) and click Find Now. SICS displays the businesses matching your search criteria in the display list.

Note! When ‘Owner’ or ‘Third Party Group’ is used as search criteria, the system finds the immediate subsidiaries of the Owner, alternatively the members of the Third Party Group. Facultative Businesses having these subsidiaries or group members defined as the Business Partner ‘Insured’ are retrieved. Only the Insured Periods covering at least one day of the Valid From/-To span in the actual owner/subsidiary or group/member relationship are considered.
If Valid From and/or Valid To dates are defined as search criteria in addition to Owner/Third Party Group, these dates are also considered when the system searches for businesses.

Field description 5. - Search Criteria

Note! For search criteria ‘Cedent’, ‘Broker’, ‘Reinsured’ or ‘Owner’, if manually input business partner belongs to a merger group and system parameter ‘Include merged companies and merge parent at search by business partner’ is selected, all other members of this business partner’s merger group will be added automatically to corresponding fields also. The same applies for ‘Insured’, except that other members of the input business partner’s merger group can be added automatically in field ‘Insured’ must also be third party.

Add Businesses to the Facultative Analysis #

SICS lets you include further facultative businesses in your analysis. The added businesses are independent of the search criteria you selected initially in the Find window. You can add single businesses, or business groups.

To include further businesses/business groups in the analysis:

1. Click in the display list of the Find Business Facultative window and select Add Business/Add businesses (Business Groups) from the pop-up menu. You see Find Business /Find Business Group window.
2. Find the required business(es) business group and double-click it, or select Transfer from pop-up menu in the display list to transfer it back to the Find Business Facultative window. The added business(es) /business group is now shown in the display list and will be included in your analysis when you run it.

To exclude businesses in the analysis:

By default, SICS includes all businesses matching the search criteria in the analysis. In the Include column in the display list, you see that all businesses are set to Yes. SICS lets you easily exclude the businesses you do not want to include in the analysis:

1. On Find: Business For Facultative Analysis window, select the business you want to exclude in the display list and select Exclude from the pop-up menu.
2. SICS has changed the value in the Included column from Yes to No and the business will not be included in the analysis.

Set the Basis of Calculation on the Facultative Analysis #

Before you run the analysis, you should set the criteria for the basis of the analysis. For example, the currency or status (open/closed) of the balances.

1. On Find: Business For Facultative Analysis window, click Calculation Basis Criteria tab.
2. Select the preferred calculation basis.

Run a Facultative Analysis #

When you have completed your selection of businesses and set the calculation basis criteria, you can run the analysis to see the results.

On Find: Business For Facultative Analysis window, Business Search Criteria tab, select Run Online Analysis from the pop-up menu. You see the results on the Facultative Business Online Analysis window.

Field description 7. - Facultative Business Analysis Result Window

Description of the content of each row in the Facultative Business Online Analysis display list.

Rate Partners #

Credit rating agencies like Moody’s and Standard & Poor’s (S&P) provide a service to the investment community by grading bonds according to how likely it is that the issuer will default either on interest or capital payments. SICS lets you store credit ratings made by credit rating agencies, or, for example, by your own company, on your business partners. This can assist you when you are evaluating your business partner’s financial situation.

Record Credit Rating for a Business Partner #

1. Open the Business Partner’s Details tab
2. In the Properties display list, select Ratings
3. In the Ratings display list, select New from the pop-up menu. You see the Create Ratings window.
4. Select the required ratings and click OK.

Record Changed Credit Rating for a Business Partner #

The credit rating agencies frequently update the ratings. To get the full picture of a company’s financial situation, you may want to keep earlier ratings made by the rating agency.

1. On a Business Partner click Details tab, and select Ratings on Properties display list.
2. Select required rating system from display list by double-clicking it or select Edit from the pop-up menu. You see Edit Ratings window.
3. Select New rate from drop-down.
4. Click Calendar button on Valid From field to select a ‘from’ date, or enter date manually.
5. Click OK to save the changes.

View Rating History of a Business Partner #

Only the most recent ratings are shown on the ratings display window. To analyse a company’s financial situation, you may want to see an historical overview of ratings.

1. Open the business partner Details tab.
2. In the Properties display list, select Ratings
3. In the Ratings display window select Include Historical Data. You will see the current ratings, including previous ratings for each Rating System in the display list

Field description 8. - Ratings

Alert of Issue regarding a Business Partner #

If a partner is in liquidation, or experience financial difficulties, or is a slow payer, it is preferable to be made aware of this in certain situations that can involve the partner, for example a technical booking, payment or creation of business. SICS lets you set an alert status on a business partner, which will return a warning or a full stop message (depending on the person’s authorisation).

1. Open the business partner to be set to alert and click its Details tab.
2. In the Properties display list, select Alert Status.
3. Click the Edit button in the bottom right-hand corner. You see the Alert Details window.
4. Select the Alert Status, and Reason for Alert Status if applicable.
5. Click OK.

Field description 9. -Alert Details

List Claims of Business Partner #

The Business Partner Claims List displays all claims and their bookings linked to a business partner. If the business partner is an owner of one ore more subsidiaries, you can select to include all claims linked to the subsidiaries' businesses in the claims list.

View Claims Linked to a Cedent #

1. From the SICS desktop, click the Business Partners icon.
2. Find the Business Partner for which you want to view claims and open its Business Partner Properties.
3. Click the Claims List icon on the Business Partner Properties to open the Business Partner Claims List window. (Alternatively you may access the Business Partner Claims List from Business Partner Ledger, Business Partner tab, Business Claims List or Claims Program Claims List by selecting Business Partners Claims List from their pop-up menu.)
4. Select the Cedent check box.
5. Click the Retrieve Claims button.

The system now displays all claims linked to businesses on which the Business Partner has the role as Cedent. It also displays the total amounts for the retrieved claims.

• To view the individual bookings for each claim, open the Claim Figures sub tab.

6. Select the claim in the list, and expand.
7. Each booking item with the associated as-of-dates, entry codes and details are listed.

View Claims Linked to an Insured #

1. From the SICS desktop, click the Business Partners or Third Party icon.
2. Find the Business Partner or Third Party for which you want to view claims and open its Business Partner or Third Party Properties.
3. Click the Claims List icon to open the Business Partner Claims List window.
4. Select the Insured check box.
5. Click the Retrieve Claims button.

The system now displays all claims linked to businesses on which the Business Partner has the role as Insured. It also displays the total amounts for the retrieved claims.

• To view the individual bookings for each claim, open the Claim Figures sub tab.

6. Select the claim in the list, and expand.
7. Each booking item with the associated as-of-dates, entry codes and details are listed.

View Claims Linked to Subsidiaries #

If your Business Partner is an Owner of one or more subsidiaries, you may want to see all claims linked to the business partner itself and its subsidiaries.

1. On the Business Partner Claims List select to view the claims list for either Cedent or Insured.
2. Select the Include Subsidiaries check box. Note! The Include Subsidiaries check box is only enabled when the selected Business Partner or Third Party is an Owner.
3. Click the Retrieve Claims button. The system now displays all claims linked to businesses on which the Business Partner and its immediate subsidiaries have the role as Cedent or Insured. It also displays the total amounts for the retrieved claims.
4. Click the Activate Filters button and you see all filter criterions on which you search on claims.
5. Define Subsidiary Valid from and/or Valid to date and select Calculate.

The system finds all subsidiaries of the business partner having at least one valid date within the given date range. All claims linked to these subsidiaries' businesses where the insured period covers at least one day of the common part of the Valid From - To span in the Owner/Subsidiary relationship and the Valid From - To span given as extraction criteria, are retrieved.

Field description 10. - Business Partner Claims List - Additional Filter Criterion