The best risk data for underwriting is customer interaction data
McKinsey argues that external data plays a pivotal role in enhancing the effectiveness of artificial intelligence within Property and Casualty (P&C) Insurance underwriting. While this holds merit, our empirical observations in P&C Personal lines suggest that customer behavior at the point of sale (POS) and during endorsements often offers superior insights into customers' true intentions and attractiveness.
Watch Out for Wolves Amongst the Sheep: Both Good & Bad Risks Are Shopping
Costs are shooting up, customers are getting sticker shock, and they're starting to shop around. Carriers need to get proactive about spotting both the bad and the good – avoiding the worst and keeping profitable customers for the long haul.
Superior risk selection lets Progressive grow consistently
P&C Specialist has a wonderful animation that illustrates how much better Progressive's market share performance has been than other top ten players over the last decade.
Homeowners carriers must use technology to personalize consumer experience and manage risk
The homeowners insurance landscape is witnessing a generational divide. While technology-savvy younger buyers demand data-driven, hyper-personalized experiences, a significant portion of the existing clientele holds a preference for traditional methods of coverage. As this transition unfolds, a successful underwriting strategy necessitates adaptability, catering to the needs of both segments while modernizing established practices.
Decoding Allstate CEO Tom Wilson’s Statements on Insurance Challenges
Allstate CEO Tom Wilson was recently quoted in the Wall Street Journal saying, “There will be insurance deserts,” he said. “There are […]
Drive excess disaster claims lower through structured comparison.
For a claims adjuster a disaster’s aftermath is a chaotic blur of crumbling evidence, overwhelming details and exhaustion from twelve-hour days without […]
Branch continues its slide
The article delves into the consequences of overlooking the complex variations in risk, leading to vulnerability and potential setbacks for Insuretechs."
Auto insurance carriers are trapped on a terrible rate cycle roller because of a bad assumption about risk
What auto carriers are doing isn’t working. Except for Progressive. “Rate hikes not bringing profitability to auto insurers” – Fisk analyzed […]
In Homeowners unmeasured risk is coming from inside the house
As we previously highlighted in our article, Hippo Bet on the Wrong Innovation, Hippo’s woes can be traced back to a fundamental […]
At Guidewire Connections the key word is “Profitability”
We are at the 2023 Guidewire Connections conference and surprisingly, the word on everyone’s lips isn’t “Ai”, it’s “Profitability”. The industry is […]
The Devil is in the Details
This article is one of an enormous number of ‘hand-waver’ pieces that use jargon that few understand to predict a magical “AI” […]
Will insurers be left with the bill for EV battery damage?
There was a thought-provoking article in the Financial Times on October 30 about the growing cost of insuring Electric Vehicles (EVs). It […]
