Week after week, I speak with insurers across the country. The topic of data control comes up often—how to maintain control over investment data, how to manage efficient data processes, and how to enable flexible data management. I’ve noticed a common sentiment concerning maintaining control over investment data. Many investment and accounting professionals think of manual data entry as the best way to control their data. A “hands-on” approach is often regarded as the most flexible way to process, view, and report portfolio data.
For years, this type of entry was the most common method for investment accounting and reporting teams to track and manage their data. Some insurance professionals have stuck to manually entering data because they feel it gives them the data control and flexibility they need for their reporting and analysis. However, that hands-on control can sometimes have big consequences: manually inputting data can leave books vulnerable to human error, and downstream mistakes can cause a cascade of complex issues.
More Control with Automation
As technology has evolved, insurers who have to depend on manual data input have started to explore the many benefits of an automated third-party solution. Insurers with growing headcounts or changing investment initiatives often find that an automated web-based—also known as software-as-a-service, or SaaS—solution can scale to their needs, save time, and eliminate the risk of errors from manual entry, all while preserving the flexibility they depend on. An automated SaaS solution can provide the data control insurance professionals need without the risks of manual data entry.
A SaaS solution that automates what used to be done by hand is the best way to eliminate the risk of human errors in data and provide insurers with peace-of-mind that their data is accurate and timely. Reporting with a SaaS solution is customizable and flexible, and insurance professionals reconcile their portfolios daily without the risks of manually entering data.
An automated solution enables accounting teams to focus less on manual data entry and more on high-level tasks, such as monitoring portfolio performance and making strategic investment decisions. Eliminating human error gives insurers more control of their data for accurate and quick reporting. A best-in-class SaaS solution can also provide automated daily reconciliation so insurers’ investment data is validated daily and discrepancies don’t accumulate at month-end.
Questions to Consider
When thinking about your level of control over investment data, ask yourself the following questions:
- How much time does our accounting team spend on manual data entry?
- Is our accounting team functioning more as a data entry team, or is it focused on accounting analysis?
- Are we at risk if a team member who knows how to use our current system leaves the company?
- Can our investment accounting solution scale to our needs?
- How many errors do we find every month that could be caused by manual entry?
The answers might surprise you. To learn more about how to increase your control over investment data and improve process efficiency, read more about streamlining your data and how manual processes could be hurting your data.