How Active Risk Management Drives Better Insurance Underwriting
Staying abreast of changing customer risks gives insurers and their representatives opportunities to better match total risk coverage to the customer.
Monitoring changing customer risk allows insurers to better assess which customers are the riskiest.
Getting a better handle on risk reduces premium leakage, which more than pays for the costs of an active risk management program.
Active risk management aims to reduce loss ratios and premium leakage.
Comparing insured to peers helps to clarify which events are individual circumstances and which are part of larger trends.
