Defining the data model for new line of business

The first step in creating a new line of business is to define the data model. Creating a new line of business is complex, and it needs a well-defined starting point.

Start by designing the data model. In designing the data model, determine which coverages are for property, which are for liability, and which are for both. Also determine the coverables—the property or persons who are being insured. Creating a data model for a liability-only line is relatively easy, because the only insured object is the line itself. Creating the data model for a new type of property insurance, such as an auto policy, is more complex.

While designing that data model, consider the hierarchy of the data objects. The hierarchy shows relationships between entities including foreign keys, subtypes, and array access to other entities.