Our relationship with CNA Hardy, and the way in which it developed, typifies the ‘project to partnership’ effect in action.

Our response to a fairly straightforward request led to the creation of a completely new software system designed to streamline financial processing. This proved to be the basis for a mutually beneficial long-term relationship, an important enabling role during a business merger and a period of further regulatory change resulting in new product innovation.

 

How it all began

Phinsys first started working with Hardy in 2010. Hardy, a Lloyd’s syndicate, sought a solution to automate their Solvency II regulatory reporting requirements.

 

Problem-solving starts with fact-finding

The first step was a series of meetings and workshops, with the Phinsys team working alongside Hardy to identify the key issues; having defined the opportunities, we could begin to devise solutions. A key decision was that, in order to streamline processing, a new Finance Data Mart was needed, one that would be capable of supporting regulatory, statutory and management reporting requirements.

The initial answer was TANDEM, the Phinsys finance data-mart product; a tool that is adaptable to meet the needs of internal and external reporting, as well as managing the Accounting process around period-end controls and manual adjustment processing and workflow controls.

 

Acquisition brings new demands

The project scope grew following Hardy’s acquisition by CNA. There was the immediate need to integrate key financial data into Group systems and meet all US reporting requirements within the necessary timescales.

Phinsys have a strong knowledge of insurance financials and understand our business needs which has been a key factor in the development of our long term partnership.

Ian Kerrison
Financial Controller, CNA Hardy

CHALLENGING DEMANDS IN A TIGHT TIMEFRAME

The outcome of these evolving requirements was the extension to the TANDEM product to include Corporate mappings and the development of the Phinsys POSTBOX product. Initially developed as a specific response to Hardy’s accounting needs, POSTBOX is a powerful and easily-integrated system that automates the production of double-entry accounting journals, enabling quick and easy access to reconciled, detailed, accurate information which significantly enhances the financial reporting processes.

It took only nine months for the extension of TANDEM and the creation of POSTBOX, as well as the successful integration of all of Hardy's underwriting data into CNA’s corporate financial systems.

 

Broadening and extending the solution

Following the successful implementation for Hardy, CNA decided to utilise the same solutions for its European branch-based business. The analysis, development and implementation of TANDEM and POSTBOX for Europe took less than six months. The benefit of having CNA Europe and Hardy on the same platform has enabled a consolidated TANDEM to be used for Management Reporting across the CNA International Division on a conformed basis. CNA Hardy are also benefiting from being able to use the same solutions in a seamless, fully integrated financial reporting process.

 

FROM PROJECT TO PARTNERSHIP

The involvement of Phinsys has moved on significantly from the initial brief. As the Phinsys and client teams worked together, a deeper insight and understanding of the client’s needs was gained, whilst they benefited from a fuller appreciation of our capabilities.

CNA Hardy has recently decided to implement RAPPORT, a unique high performance, scalable processing engine. Combining the strengths of sophisticated, industry-recognised computing tools with an easy to use interface, RAPPORT enables business users to readily create often complex mathematical models in a controlled environment. RAPPORT has been used to automate the Technical Provisions output required for Solvency II, supporting both the Syndicate and Company sides of the business

CNA Hardy are now utilising COMPLY, designed to automate the feed of data to Solvency 2 Pillar 3 Regulatory returns which also includes a comprehensive systems reconciliation reporting suite, working alongside TANDEM, POSTBOX and RAPPORT.

CNA Hardy continues to utilise Phinsys as a partner for the ongoing support of its Financial Reporting processes and enhance areas as requirements change.

Phinsys have become a key development partner for CNA Hardy. They have worked closely with us to deliver solutions that have accelerated our pace of change.

Carys Lawton-Bryce
Head of IT & Business Change, CNA Hardy

tandem

A powerful finance management tool for both Lloyd’s and International Property & Casualty businesses utilising a flexible and powerful ETL tool. A comprehensive finance data mart / warehouse holding all accounting data, supporting finance processes that are required to produce your underwriting results. TANDEM is easily configured to support your business processes and controls.

 

comply

A reporting and data archiving system designed specifically to meet the demands of reporting across multiple regulatory regimes. Supporting PRA and Lloyd’s Solvency II Pillar 3 and UK GAAP reports this solution is easily extendible to support other jurisdictions. COMPLY also supports the reconciliation process ensuring that data is fully reconciled and auditable across all systems.

 

rapport

A high performance, scalable processing engine with a business-driven user interface, for rapid and accurate execution of processes such as earning of premium, ceded premium allocation, IBNR calculation, expense allocation and forecasting. RAPPORT Business Solutions can be easily extended to meet any business need requiring calculations and allocations managed by the Finance team.

 

postbox

A flexible accounting rules engine to manage the interface to ledger systems for creating, processing and reconciling journal entries. The web-based front end is simple to configure and maintain and provides a straight-forward interface and reporting suite to identify issues in a timely manner. POSTBOX automates journal production and removes risk from key financial processes.