How Active Risk Management Drives Better Insurance Underwriting
Monitoring changing customer risk allows insurers to better assess which customers are the riskiest.
Getting a wider view of actual risk means better risk pricing, which benefits loss ratios.
A study shows that identifying previously undiscovered risks could help insurers save billions in premium leakage.
Customers who are negatively affected by active risk management are more likely to leave, while the others may be more likely to remain.
Active risk management aims to reduce loss ratios and premium leakage.
