JERSEY CITY, N.J., July 15, 2013 — Verisk Insurance Solutions has released the Class Insight ratio, a new capability to help carriers fine tune risk estimation for class-rated properties. Verisk Insurance Solutions is a unit of Verisk Analytics (Nasdaq:VRSK).
“Rating segmentation enhances competitiveness in insurance,” said Kevin Thompson, president of ISO Insurance Programs and Analytic Services. “Carriers need to know more than just a range of information. They want to segment with the greatest level of precision possible to remain competitive. That’s what Class Insight is designed to provide.”
In class-rating, properties that share the same characteristics and features receive the same loss cost, averaged over all risks in that class. The new Class Insight provides a more precise individual risk evaluation to enhance the class-rated loss cost. Class Insight is developed in part through an on-site survey performed by one of Verisk’s 450 field representatives. They assess construction, occupancy, special hazards, and fire mitigation systems for the property, among many other factors. That information is analyzed against Verisk’s ProMetrix® database of more than 3.5 million site-surveyed commercial properties.
“When a carrier uses a class-determined loss cost, it’s the average of all the properties that fell within a range,” said Bill Raichle, president of Verisk Insurance Solutions – Commercial Property. “But carriers looking for precision want more than a class average. Now we’re able to provide important insight on where it falls in that range, and a carrier can underwrite it as competitively as possible to avoid adverse selection and maximize profitability.”
Class Insight will be available to customers as part of their ProMetrix licensing agreement. Carriers can contact their Verisk Insurance Solutions – Commercial Property account representative for details.
ProMetrix is a suite of services and solutions that includes data, onsite surveys, and analytics. The ProMetrix database contains site-verified loss cost and underwriting information on more than 3.5 million commercial properties and approximately 6 million businesses. ProMetrix is used in comparative analyses, studies, reports and services for insurers, property owners and lenders. For more information on the ProMetrix suite of services and solutions, visit ProMetrix.
About Verisk Insurance Solutions
A unit of Verisk Analytics (Nasdaq:VRSK), Verisk Insurance Solutions is a leading source of information about property/casualty insurance risk. Drawing upon vast experience in data management, security, and predictive modeling to serve its clients, Verisk Insurance Solutions includes the industry-leading brands of ISO, AIR Worldwide, and Xactware. In the United States and around the world, Verisk Insurance Solutions helps customers protect people, property, and financial assets. For more information, visit www.verisk.com/insurance.