Electronic Data Interchange (EDI) has become a vital communications tool in the insurance industry. The American National Standards Institute (ANSI) has developed a globally standardized method for industry wide communication since its inception in 1979. The advantage of EDI is that it can easily adapt to various types of hardware and software infrastructures. Risk Management Solutions of America Inc., utilizing standard EDI transaction sets has developed a proprietary (and mobile) tool which provides “real time” verification of auto insurance coverage to authorized users.
Utilizing ICheck ® as the central instrument, RMSOA has developed an integrated system (see Automobile Insurance Data Clearing House Model) that allows the Secretary of State’s Office to manage and reap the benefits of real time verification of automobile insurance coverage.
The benefits of the integrated ICheck® real time verification system include:
- Increased Public Safety (through greater compliance)
- Increased Effectiveness in Law Enforcement
- Increased Traditional Revenue for State (violations)
- New & Alternative Revenue Sources for State (revenue sharing potential)