NU Online News Service, Dec. 1, 3:18 p.m. EST

The Insurance Exchange Trust is moving ahead with development ofan insurance exchange, establishing an oversight committee it saidwill make the insurance transaction easier for everyoneinvolved.

Last week, The Trust announced the establishment of its board ofinsurance professionals dedicated to overseeing the LexisNexis Insurance Exchange.

The Trust said its mission will be to "provide both guidance andinsight" to LexisNexis Risk Solutions, which is the developer ofthe exchange, to ensure the exchange "fully supports the needs ofthe insurance distribution market, carriers and theircustomers."

The Council of Insurance Agents & Brokers and LexisNexis,which have taken the lead in developing the technology, describedthe insurance exchange as an electronic platform where agents andbrokers can submit a risk to multiple insurers and wholesalers inreal time for placement.

The exchange will also offer "information and analytics withrespect to risk placement and market trends" that will not beavailable elsewhere.

CIAB said the exchange "is designed to promote and facilitatecompetition in insurance markets and to provide a level ofefficiency and increase productivity."

Ken A. Crerar, president of CIAB and executive chairman of theInsurance Exchange Trust Board of Trustees, said, "Visualize thetrust as a ring around the LexisNexis Insurance Exchange, whichfunctions to facilitate transparency, neutrality, fair pricing anddata protection for all Insurance Exchange participants."

According to The Trust, when the exchange is up and running, itwill be available to all agents and brokers. It will initiallycover property and casualty risks but is envisioned to providetransactions for all risks including health and life in thefuture.

The founding trustees of the board are:

o J. Hyatt Brown of Brown & Brown

o Andrew G. Cassidy, Early, Cassidy & Schilling Inc.

o Albert R. Counselman of RCM&D, Inc.

o Mr. Crerar of the CIAB

o M. Steven DeCarlo of AmWINS Group Inc.

o Sharon Emek of CBS Coverage Group Inc., representing theIndependent Insurance Agents & Brokers of America

o Clyde H. Fitch Jr. of State Auto

o Lawrence G. Graev of The GlenRock Group, LLC, representingMarketCore

o James Hackbarth of Assurex Global

o Russell Johnston of CHARTIS

o Greg Maciag from ACORD

o Markham R. McKnight from BancorpSouth Insurance ServicesInc.

o Mark J. Moitoso of Liberty Mutual Group

o H. Wade Reece of BB&T Insurance Services Inc.

o George A. Steadman III of Rutherfoord/MMA

o Robert H. Rheel from Zurich

A controlled release of the exchange is currently in operationwith 16 leading U.S. brokerage firms to test the system, The Trustsaid. It added that all carriers can access the exchange, making itpossible for agents and brokers to make submissions through it.

Full production through the exchange is expected to begin in thesecond quarter of next year.

There will be costs associated with the use of the exchange forcarriers, agents and brokers that will consist of an initial andyearly membership and support fees on a per-user basis. The priceof those fees has not been publicly outlined.

This story was updated at 4:30 p.m.