McCracken’s Insurance Compliance application stores insurance policy information and checks for compliance with requirements imposed by investors or corporate policy. The ability to enter and retain detailed policy information provides the ability to check coverages and qualifiers against requirements based on the property type, property location and type of business or underlying investors.
McCracken’s insurance policy supports all the policies types associated with commercial real estate including package, standalone, and blanket policies and captures the detailed coverage information specific to the Policy. Analysts capture Policy Interests (Named Insured and Investors) and Subjects of Insurance (Locations, Buildings, Business Income, Personal Property) covered by the policy. These values identify the associated loans, and investors. If a property is collateral for multiple loans, both loans are associated to the policy, as well as all investors on all the associated loans.
The application tracks the subject collateral as a location but allows you to capture information at the building level. This allows you to track coverages and qualifiers at the building specific level when coverages are specific to a building. This comes into play when only some of the buildings at a location require specific coverages, e.g. flood insurance.
Analysts enter the coverages that apply to a policy, their associated deductibles, and qualifiers (Property Valuation Method or Form Types, for example). The application’s dynamic display shows only the information entered for quick easy reference.
Once a policy exists in the application, analysts can renew a policy or simply update the details by just changing the affected information. Endorsements or updates to the policy can have their own effective dates separate from the policy. The application keeps a complete history of any changes to the Policy, providing easy access to exactly what coverage was in place at a particular point in time.
Integrated with a powerful rules engine, over 300 rules currently monitor requirements for insurance. Compliance analysts can use existing rule sets to monitor for Fannie Mae, Freddie Mac, FHA, or CREFC insurance requirements. They can also create their own rule sets by picking and choosing which items to monitor. Referencing information for the location, building, and policy, the rules determine whether the policy meets the requirements. When the View Compliance Checks button is pressed, the system runs the checks associated with the identified Investors. Analysts see all alerts for the policy in the Compliance Rule Violations window. From here users can waive an alert or export the alerts to a spreadsheet for further analysis.
In addition to alerts, the rules can be set to call workflows or tasks defined by your administrators in McCracken’s Process Manager. The Insurance Compliance application can automatically start a remediation process defined by your organization when policies do not meet the requirements. Analysts may also choose to create letters or send emails when the system determines that the entered information does not meet the requirements applied.
McCracken’s Insurance Compliance application is available to Strategy users as well as for integration with other systems to support any organization’s insurance compliance needs. Whether you’d like a demo, or just some more information, we look forward to hearing from you.
Strategy is the commercial real estate industry’s most trusted and comprehensive servicing solution. With accounting, asset management, compliance monitoring, and workflow features, this robust solution helps McCracken customers service one hundred thousand loans totaling nearly $2 trillion.
Insurance Compliance allows for the monitoring of various policy types across multiple loans and collaterals. Integrated with workflow technology and business rules, the Insurance Compliance system streamlines your review and monitoring of insurance requirements across package, blanket, and standalone policies.
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