Defining in-force management

In-force management is still a young discipline in insurance. In this post we tackle a question we hear from those who are still a little confused by what in-force management really is …

“What is in-force management?”

Our definition:

In-force management is the discipline of pro-active management of existing insurance policies and customers (a.k.a. the in-force)

Misconception 1 – In-force management is not ‘business as usual’ management of the existing policies. Rather it is a rolling programme of pro-active, value-adding changes to the way we run the in-force business and handle in-force customers

Misconception 2 – In-force management is not a single big project with a long payback. Instead it is a programme of, often, smaller initiatives and improvements across the in-force which have very quick payback and together add up to significant value for shareholders and customers

Misconception 3 – In-force management is not a single technical skill. Rather it is a multi-disciplinary skill that works best when the team can uncover the opportunities across the operations, actuarial and finance, marketing, product, technology and data science disciplines. The team requires great technical talent, knowledge of the business and leadership

Misconception 4 – In-force management does not need a large headcount. Rather it is a lean, senior and influential team of professionals that can identify the initiatives and make them happen. Ultimately, value only emerges when actions are delivered.

The in-force as a business asset

In-force management is also about changing mindset. Too many insurance leaders have viewed the in-force as mainly a problem or a headache.  Legacy IT adds cost and complexity.  Financial and insurance risks on old products may lurk underwater.  These issues are real, but more importantly, the in-force is also a great business asset to be utilised. The in-force customers, in-force policies, and the existing balance sheets can be used to improve returns for shareholders now, improve benefits for customers, or improve the strategic positioning of the insurer for the future.

Our logo at inforcehub represents this view of the in-force.  The in-force book is fertile ground.  Significant value can be grown from the in-force, across many branches which represent the many different levers in in-force management programmes.

Our mission at inforcehub

We see enormous potential in the in-force business and in-force customer base and are developing technology, techniques and analytics to unlock it. We aim to help the industry by making it easier, quicker and more effective to get started on in-force management.

If you want to find out more about in-force management, please get in touch.