Working capital optimisation continues to be a top priority for insurance brokers. Finance executives aim to bring down SG&A costs, thereby reducing the cost of processing per contract.
Most brokers hold a continuous improvement goal, driving them to find ways to eliminate unneeded waste in back-office operations. Back-office operational tasks especially phone calls, emails and other document processing are an important contributor to any company’s success but dealt with in-house, they run at a high cost. Results from outsourcing and streamlining these OTC processes, not only improves cost effectiveness and efficiency, but also frees up staff to move out of the back office to support customer-facing activities or fill needs elsewhere in a company.
Order-to-Cash (OTC) solutions from Sterling, allow for higher efficiency in transaction processing as well as resolution of order entry mistakes, pricing disputes, billing errors and credit or collection issues.
This is why they decided to outsource the accounts function to a competent, professional, efficient, results driven firm, Sterling.
We tailored a package including the following services:
- Creating debit / credit notes and sending to clients
- Credit control
- Payment processing including credit card secure payments
- Creating / updating details for client credit accounts
- Managing payments and allocating payments on the broker software system
- Reconciling insurer statements
- Raising insurer / client payment requests to Directors of broking firms for approval/action
- Sending out monthly remittance advices / statements to insurance companies
- Reconciling all broker accounts (client and office) monthly
- Debt recovery
- Producing monthly Broker Management accounts
- Producing Client money reconciliations for broker to FCA requirements
By doing this the client eliminated the problems relating to:
- Excess Staff overhead
- Management time dealing with sickness, holiday cover, motivational issues
- Time delivery
And could see clear benefits such as:
- Reducing overhead in budget and reducing additional management time on staffing
- Provision of an accountable delivery of service to agreed standards
- Removes hassle factor leaving insurance staff to focus on client centric activity
Whilst particularly successful within the professional services market Sterling cover a wide variety of markets from fashion design and wholesale to construction, IT, recruitment, PR, architecture, accounting and legal. In all of these industries they effectively become the credit control function for their clients, responsible for collection of ledgers on an ongoing basis and in many cases the entire order to cash process.