Fair Isaac's credit-based insurance scores have long been an industry standard for measuring the risk presented by personal lines policyholders. Now insurers are adopting Fair Isaac's Enterprise Decision Management approach to make decisions across multiple functions, ranging from underwriting and claims to marketing and distribution.
And our solutions are being applied across an even broader range of lines of business -- from personal lines to commercial lines, life, annuities and pensions -- to improve the precision, consistency, and agility of insurers' decision making.
Illustrative results from our experience of working with more than 400 leading insurers worldwide include:
- Loss ratios improved by 3% to 8%
- Underwriting costs reduced by 15% to 20%
- Loss-adjustment expense reduced by 20% to 25%
- Losses due to fraudulent claims reduced by 20% to 50%
- Qualified leads increased by 4 to 6 times
- Cost of IT systems support reduced by 40% to 50%
Our clients range from leading global and national insurers, including The Hartford, GEICO, and Unitrin Kemper Auto & Home, as well as small- and mid-size regional players, such as Auto Club Group of Michigan.
We have specialized expertise and offerings in Personal Lines Underwriting, Commercial Lines Underwriting, Claims Management, and Marketing and Distribution. Each solution calls upon a full complement of EDM-related products and services, including:
- The industry-leading Blaze Advisor™ business rules management system
- Specialized tools for developing risk scorecards and optimizing underwriting strategies, including Model Builder and Decision Optimizer
- Industry standard scores, including credit-based insurance scores and Property PredictR™ service from Fair Isaac and Millennium Information Services for rapid, consistent underwriting of P&C risks
- Strategic advice from senior-level consultants with industry-specific experience
- Comprehensive process and technology consulting services including EDM implementation, data warehousing and business intelligence, and enterprise application integration
- Predictive analytics and decision strategy consulting services
Predict underwriting risk for Personal Lines more effectively with Fair Isaac Advanced, Express and Expert Predictive Models
Insurance models generate insurance scores that rank-order auto and property insurance applicants and policyholders by their likely future relative losses.
Fair Isaac Predictive Insurance Models predict new and renewal underwriting risk for Personal Lines insurance by rank-ordering performance according to performance measures such as loss ratio, loss cost, loss frequency and profitability.
Insurers can choose from custom Advanced Models built on company-specific data; Express Models built on pooled insurer data: and Expert Models using characteristics, attributes and score weights that have worked well in similar situations. Improved decision capabilities allow for increased profitability by:
- Reducing loss cost and expenses
- Automating optimal decisions
- Increasing retention
- Enhancing rate plans
- Improved resource management
- Expanding into new states
In addition to custom risk models, Fair Isaac offers a wide range of underwriting data analysis and consulting services including:
- Segmentation optimization
- Regulatory consulting
- Histogram production
- Impact analysis
- Retention modeling
- Lift opportunities on existing models
Fair Isaac’s Custom Insurance Analytics group has the experience and domain expertise to provide insurers with a competitive advantage in Personal Lines.
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