Smarter Allocations for Alternative Risk Environments

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Many clients initially contact us because they are looking for a better way to allocate costs across many different accounts, each of which may have thousands of assets counted as insurance exposures. Allocating amounts so they reflect the true costs of risk fairly and transparently is exactly what Quadra was designed to do.

During the onboarding process, we convert data so the client’s existing fields, in all their complexity, work within Quadra’s structure. Once the conversion is done, our singular Allocations module simplifies the process for clients who previously struggled to fairly assign insurance costs to so many diverse assets and accounts.

In releases v11.4.1 and 11.5, we have upgraded the allocation process. This version offers more clarity and flexibility to better accommodate different preferences such as shared amounts, collaring, and capping.

Shared amounts

In Quadra, users can assign a particular cost component amount to multiple coverages as needed. For example, if a broker fee is intended for all coverages, the Shared Amounts feature can distribute that amount based on other cost components. With this update, the target amounts grid for the cost components now displays both the initial shared amount and which portion was allotted to the coverage. This provides greater transparency in how the cost was shared.

In a new allocation, the initial shared amount and allotted portion are now visible in the Targets section when defining cost components for coverages:

Collaring

In the Allocations module, the collaring feature allows updated costs to stay within a certain range if the amount varies from the previous fiscal year. With collaring, upper and lower cost limits are defined for each coverage. This gives financial managers greater control over the final asset charges invoiced and prevents drastic changes from one year to the next.

In v11.5, Quadra now allows users to collar either by asset or account. Previously, only collaring by asset was available. With this release, updated amounts can be billed to accounts even if new assets have been added since the last allocation. Previously, new assets could not be collared at all. As a result, newly added assets would be hit with comparatively higher costs. This update creates a smoother distribution of cost increases across accounts.

With these changes, financial managers have more control over the final charges produced.

The new interface under the Coverages section of the Allocations module allows users to collar either by asset or account:

We are excited to announce these updates since the Allocations module is a defining feature of Quadra. We hope your summer is off to a great start and please stay tuned for more updates!