(Big Data-driven analysis can bring greater precision to the pricing of commercial risk. Photo of the Kawasaki Shipbuilding Kobe Shipyard & Machinery Works by 663Highland.)
Intellect SEEC, the insurance software division of Intellect Design Arena, has announced the launch of Intellect Underwriting Workstation (UWX), which incorporates data analysis capabilities to help commercial insurers make better risk selection and pricing decisions while improving efficiency and turnaround time.
Commercial underwriters will increasingly need to differentiate themselves through a more thorough and precise understanding of risks, achieved in a timely fashion, according to Mitch Wein, VP of Research and Consulting for Boston-based research and advisory firm Novarica. “Only a modern underwriting workbench, with seamless access to all information, can achieve this,” he comments.
Wein advises that “table stakes” in today’s commercial insurance market include workbench access to Big Data in public domains and social media, the latest rating algorithms, product configurator integration, documents, case notes, inspection reports, best practice guidelines, quote history and models. “In 2015,” Wein insists, these are “‘must haves,’ not ‘nice-to-haves.’”
UWX’s RISK ANALYTICS component uses big data to discover hidden risks and provides intelligent inferences about the data, allowing underwriters to find out information that would otherwise be missed, according to the vendor. RISK ANALYTICS is offered as a standalone solution available in the cloud or as a part of UWX.
Intellect SEEC describes UWX as delivering a 360° view of the account and providing configurable workflows and enabling real-time collaboration with experts for improved underwriter productivity and “first time right” policy issuance. It allows carriers to utilize existing technology and seamlessly integrate with enterprise as well as various third-party systems, according to the vendor. And by offering a direct-to-customer portal and mobile capabilities, Intellect SEEC asserts that UWX streamlines the underwriting process.
Most commercial underwriters still face significant ambiguities when assessing risks, according to Pranav Pasricha, CEO, Intellect SEEC. “Our solution enables them to assess risks much more comprehensively without additional data collection or research and analysis,” he comments. “It collates information pertinent to the type of policy being written in a format that focuses attention on the high risk issues which the underwriter may not have known about otherwise.”
Examples of such risk issues include propensity for moral hazard, bad business practices and other information about the business or its owners, Pasricha explains. “With such powerful insight, we are confident that insurers will be able to see a major improvement in their loss ratios for new business as well as fine tune existing business with precision,” he remarks.