Key Features Of The Best Insurance Accounting Software
The best accounting software for insurance companies should be cloud-based (for secure but easy access for all users), provide accounting automation (to take the burden off internal teams), connect with other apps like Salesforce (for a no-code setup that works on day one), and capable of bulk invoice generation while it simplifies tax calculations.
It should also let you generate reports and deliver insight-driving information at a glance through clear, easy-to-use dashboards.
Let’s take a deeper look at the key features to look for.
Cloud-Based
The best accounting or bookkeeping software for insurance companies should be easy to set up, easy to train your team to use, easy to run, and easy to access customer support. A software tool that requires constant effort from the IT department can cause major headaches for your tech team.
Therefore, professional accounting software should be hosted in the cloud. Cloud-based accounting software requires less maintenance, offers stronger cybersecurity, and costs less than on-premise software.
Accounting Automation
Accounting software for insurance companies should offer automation tailored to the insurance industry’s workflows. It should also streamline your accounting operations, help employees work efficiently, and cut down on manual errors.
Automation functions to look for include billing and invoice generation, revenue recognition, general ledger entries automation for revenue and expenses, payable insurance payments calculations, and insurance documents preparation. With these features in place, insurers can significantly cut down on employee costs and free up their agents’ time to work on generating extra value.
Read on for more details on the Benefits of Automating Accounting Software.
Seamless Integration
Insurance accounting software needs a smooth connection with the other apps and systems that your business uses. Since the accounting software needs to pull information from your front office software, ERP systems, and specialty insurance management software, a workable, easy-to-set-up connection is central to its ease of use.
Data from all these disparate systems should flow easily to the accounting software, so it can capture the correct financial information in the background, without human effort. This prevents any manual errors that can pop up when a human user enters data in one system while referring to another.
Accounting Seed takes pride in being Salesforce native, meaning you’ll be able to pull in the entirety of your business’ data into a streamlined financial system right from your Content Management System (CMS.)
Bulk Invoice Generation Capabilities
One of the most important features of the best insurance accounting software tools is the ability to generate batch invoices for clients. With batch invoices, you can analyze the amount due to the insurer, grouped by product.
Creating physical invoices for individual clients and tracking those invoices for pending payments can be time consuming. Automated invoicing and billing features make this otherwise tedious manual task easy.
You can schedule automatic invoicing by creating profiles for regular customer orders. An automated accounting software tool for insurance companies can also send reminders based on invoice due dates or expected payment dates.
You can also track unpaid invoices, nudge late customers, and prevent losses and write-offs due to missing payments.
Wondering How to Streamline Vendor Payment Processes? Read on to find out.
Tax Calculations And Robust Reporting
Your insurance accounting software tool should reduce the stress associated with tax compliance across different states by navigating the sea of regulations and guidelines automatically, without human input.
Insurance companies also need to generate insights and track important KPIs like expense ratios, average policy size, cost per quote, and revenue per policyholder from their collected financial data. A dedicated insurance accounting software tool can support better decision making by making information easily accessible to different types of stakeholders through dynamic dashboards.
Work internationally? Here’s a helpful resource about Foreign Exchange Accounting.
