This began the search for a rating engine, which turned into a three-month project that resulted in the narrowing of the search to two particular products. The first step was to get this through IT because we didnt want to deliver something that would add time to the cycle, even if it met business requirements, says Swift. We were looking to find something that would fit with our architecture and that we were comfortable with.

After IT examined the vendors, members of the business side got involved and were most impressed with the Example Platform from Duck Creek Technology. I think Duck Creek won out because it was just a little bit easier for those on the business side to use, says Swift. They liked the way it was set up and the controls they had. The interfaces were a little bit cleaner.

Sometimes business and IT can disagree on a solution but not this time. Swift cites this as an example of the relationship between the two sides at Esurance. Because we are Internet based, theres a real synergy between IT and business, he says. We work extremely closely, and its rare we dont see eye to eye. We each had the same goal in mindto take away some of the complexity and put [the rating] in the hands of the business so it can move forward. From an IT perspective, were a service. We provide the building blocks, and [business] assembles them. Duck Creek was selected in September 2002, and the first state was rolled out the following January. The challenge was to change the interface, says Swift. Duck Creek uses an XML interface, which is a bit easier for us to control. When it came to switching it on, we really were pleased. It was 12 months before we did every state, but that was a matter of changing as the new rate plans for each state were filed.
Rate changes that took two weeks under the old system now can be completed in 24 hours, according to Swift. Business makes changes directly into the manuscript. We run the risks for business, and business looks over the data. If everything is OK, business moves [the new rates] in.

One of the points that sold IT on Duck Creek was the platform could be run on one server, instead of the six servers Esurance had been using. We were a bit skeptical, but Duck Creek came in and showed us how we could have written the manuscripts more efficiently. We made the changes, and were still doing OK, says Swift. Its nice when youre working with a vendor that actually lives up to its pitch. This takes a lot of pressure off the IT area. To make basic rate changes today, were not tying up IT staff.

Esurance knew something had to be done, and Swift feels fortunate the right product was available to fit into the companys architecture. We would have had to build this ourselves if we didnt find someone with a package. ROBERT REGIS HYLE
Case File

THE PROBLEM
Rate changes took up to
two weeks to complete.

THE CARRIER
Esurance
Web Site: www.esurance.com
Direct Written Premium: $116 million

THE SOLUTION
Example Platform Product Suite from Duck Creek Technology
Web Site: www.duckcreektech.com