What is the purpose of composing AFD-definitions UIV?
SUIV (Stichting Uniforme Inrichting Volmachtketen) is a foundation established with the goal of enhancing control within the ‘Volmacht Distributie’, the distribution by underwriting agents, handling all insurance and other financial products and services. To fulfill this objective, SUIV leverages the AFD-definition Standard as a framework for underwriting agent policies. This approach ensures a uniform design of insurers’ products across all participating underwriting agents. To formalize these efforts, SUIV has developed PUIV (Protocol Uniforme Inrichting Volmachtketen), a protocol outlining uniform design principles for the distribution chain of underwriting agents, to which all participants and suppliers are committed. For more information about SUIV and its initiatives for uniform design please visit the SUIV website (in Dutch).
What is an AFD-definition UIV?
The agreements for governing the composition of AFD-definitions within the underwriting agents’ chain are referred to as AFD-definitions UIV (Uniforme Inrichting Volmachtketen) and will soon be accessable in an updated manual. Additional details about UIV can be found on the dedicated landing page for UIV on the SIVI website (in Dutch).
Formal responsibility
The principles of Product Oversight and Governance (POG) necessitate a clear determination of responsibility regarding the composition of an AFD-definition UIV for a product. Within an AFD-definition, the attribute AFD-definition tag is utilized to specify the responsible party. Potential values for this attribute include SUIV, SUIV-EP and SUIV-COMBI, as shown in the table below.
Product type | Description | AFD-definition composed by | AFD-definition tag |
100% insurer product | Product developed by insurer | Insurer | SUIV |
Adjusted 100% insurer product | Product of insurer with deviations, as recorded in POG process | Insurer | SUIV |
Own product underwriting agent | Product composed/designed by underwriting agent | Underwriting agent | SUIV-EP |
Pool product | Product with participation of multiple insurers | Insurer (pool leader) | SUIV |
Combination product | Combination of products of different insurers | SIVI | SUIV-COMBI |
Differences between consumer and business products
The principles governing the composition of AFD-definitions for business and consumer products, differ. This distinction arises because the acceptance rules for business products show significant diversity and are not stored consistently within the policy system, because they are managed in various front-end systems.
Principles consumer products | Principles business products |
1. Data necessary for supervision 2. Data necessary for reinsurance 3. Data necessary for product management a. Premium perspective b. Acceptance perspective c. Policy information |
1. Data necessary for supervision 2. Data necessary for reinsurance 3. Data necessary for product management a. Premium perspective b. Policy information |
If a service for premium calculation or acceptance is offered (such as VPI), that service serves as the starting point for the specifications. If not, the specification for premium calculation is the starting point. | If a service for premium calculation is offered (such as VPI), that service serves as the starting point for the specifications. If not, the specification for premium calculation is the starting point. |
The insurer may choose to make only part of the data mandatory. | If fewer data are required for premium calculation in case of renewal than for premium calculation in case of a new policy or a change to a policy, the data are based on renewal. |
UIV functions
Specific agreements are in place for particular UIV functions. The functions ‘Premieberekening’ (Premium Calculation) and ‘Kunnen aanleveren’ (Can be submitted) are always mandatory. The functions related to ‘Acceptatie’ (Acceptance) are mandatory only when using ‘VPI-Acceptatie’ (VPI Acceptance). Although the function ‘Polisblad Gegevens’ (Data Policy Sheet) is not mandatory, it is strongly recommended to complete this function.
Function | Data to be included ** |
Premieberekening Aanroep (Premium Calculation Request) | The parameters and relational checks affecting the premium calculation. |
Premieberekening Resultaat (Premium Calculation Result) | The parameters that influence premium calculation + return data (including gross premium installment amount) per coverage. |
Acceptatie Aanroep (Acceptance Request) | The parameters and relational checks required for Acceptance. |
Acceptatie Resultaat (Acceptance Result) | The parameters required for Acceptance plus all return data. |
Polisblad Gegevens (Data Policy Schedule) | The information stated on a policy schedule. |
Kunnen Aanleveren (Can be Submitted) | The data determined from the NVGA protocol and SUIV protocol for supervision and reporting. Additionally, all data entered in the other functions of the AFD-definition. |
** Products do not always adhere to a fixed product structure. In such cases, it is unnecessary to include more than the AFD-attributes mandated by the NVGA protocol and the SUIV protocol in the AFD-definition.
The data within the ‘Kunnen aanleveren’ (Can be submitted) function are provided by insurers using NVGA protocol reports and ad hoc reports. Mandatory and optional data for NVGA protocol reports can be found in the Manual NVGA Protocol 2.0 (in Dutch). An example of an AFD-definition for ‘Kunnen aanleveren’ is available in paragraph XML Examples.
The following attributes within the AFD-definition are mandatory, as they facilitate the unique identification of the product:
- AFD-definition name (AFD-definitienaam)
- AFD-definition version (AFD-definitieversienummer)
- Business line (branchecode)
- POR company (POR-code)
These items are also part of the file name of the AFD-definition.
Additionally, as mentioned above, the following is mandatory:
- AFD-definition tag (possible values: SUIV, SUIV-EP or SUIV-COMBI).
Furthermore, in compliance with AFD rules, the following attribute is mandatory:
- For Coverages, the coverage code with the applicable code values.
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