1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12,...
-
Upload
chad-richards -
Category
Documents
-
view
213 -
download
1
Transcript of 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12,...
![Page 1: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/1.jpg)
1
Straight-through Processing NAVA’s Standards Initiative
STP – An Industry-wide Update
Nov 12, 2008ESRA Conference
![Page 2: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/2.jpg)
2
Tony DeakinsManaging DirectorAbraham, McDonald & Associates, IncOffice: (904) 808-8328Cell: (904) 910-1614Fax: (904) 212-2101Email: [email protected]
Project Director for NAVA’s Straight-Through Processing Initiative
![Page 3: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/3.jpg)
3
AgendaThe Industry InitiativeTechnology ConsiderationsBenefits
![Page 4: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/4.jpg)
4
Straight-through Processing NAVA’s Standards Initiative
The Industry Initiative
![Page 5: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/5.jpg)
5
The ProblemNo ability to meet anticipated demand for annuities with current paper-intensive business process Compliance with differing regulatory
requirements Differing company interpretations of the
same regulatory requirement Consumer expectations for greater service Need for technology solutions
To meet legal & compliance obligations To address interoperability To allow for modular implementation
![Page 6: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/6.jpg)
6
The Mission “To create a set of standards establishing a common process for doing electronic new business submission for annuities that includes e-signature and standard interpretations of all state and federal regulations – for which we get regulatory acceptance.”
![Page 7: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/7.jpg)
7
Industry CommitmentAEGONAIG/SunAmerica/VALICAllianz LifeAXA FinancialEdward JonesFidelity InvestmentsGenworth FinancialGuardian LifeHartford LifeING US FinancialJackson NationalJanney Montgomery Scott John Hancock FinancialLincoln FinancialLPL Financial ServicesMassMutualMerrill Lynch
MetLifeMorgan StanleyNational FinancialNationwide FinancialNew York LifePacific LifePershingPrincipal FinancialPrudential FinancialRaymond JamesRBC Dain RauscherRiverSourceSun Life FinancialTIAA-CREFUBS FinancialWachovia Securities
![Page 8: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/8.jpg)
NAVA STANDARDS INITIATIVE
Technology ConsiderationsWhat are the key tools & assumptions?
8
![Page 9: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/9.jpg)
9
Critical TechnologieseCommerce functions centered on:1. Engaging the customer electronically2. Business process automation for
transaction processing 3. Compliance through Transparency4. Electronic documents5. Electronic signatures6. Electronic records management
![Page 10: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/10.jpg)
1010
Statutes & RegulationsUETA (Uniform Electronic Transactions Act) and ESIGN (Electronic Signatures In Global and National Commerce Act) Permits electronic transactions if agreed to Permits e-delivery Permits e-signatures Permits e-records
All state replacement regulations satisfiedAll suitability regulations met/exceededAll disclosure requirements satisfied
![Page 11: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/11.jpg)
11
End State VisionSignificantly increased sales volumes
Without increased human intervention
Significantly reduced compliance risks Through use of rigorous business rules and
checkpoints
Greatly enhanced customer experience Simplified buying process Increased assurance of having made the right
decision, selected the right product
Greater transparency Improved responsiveness to regulators
![Page 12: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/12.jpg)
NAVA STANDARDS INITIATIVE
SUMMARY OF BENEFITS
12
![Page 13: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/13.jpg)
1313
Consumer BenefitsMaking it less complicated – simplify processMaking it easier to understand – transparencyRemoving frustration– fewer errors, less time & less cost related to repairing customer confidenceObtain higher level of service
![Page 14: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/14.jpg)
14
Regulator Benefits
Provides tools to facilitate more suitable sales to the consumer & more robust market conduct examinations Includes robust records management with ability to easily search and find in a single locationResolves regulators’ current concern – obtain signature at point of sale vs. back-end
![Page 15: 1 Straight-through Processing NAVA’s Standards Initiative STP – An Industry-wide Update Nov 12, 2008 ESRA Conference.](https://reader035.fdocuments.us/reader035/viewer/2022070407/56649e4a5503460f94b3ebd7/html5/thumbnails/15.jpg)
1515
Industry BenefitsCommon process to simplify selling and enhance the attraction of annuitiesStandards create common language – interoperability between trading partnersElectronic transaction reduce costs – fewer errors, E-Delivery