EPIX: Bringing the power of analytics to energy insurance underwritingBy Elizabeth Casas Leano | March 2, 2018
The energy insurance industry is complex and tightly integrated, with each company and every asset within the energy value chain extremely interdependent. In such a challenging environment, obtaining information about risks can be time consuming, costly to obtain, and fraught with inaccuracies.
The energy data challenge
Without access to reliable, industry-wide data, energy insurers are required to make complex and costly decisions based on their individual proprietary data and their team’s expertise.
But with insurance products becoming increasingly commoditized and with expectations that the underwriting knowledge and experience gap will continue to widen over the next few years, deciding which risks to insure, how to structure capital, and how to properly balance your portfolio to meet your company’s objectives will become harder than ever.
Verisk has introduced the Energy & Power Intelligence XchangeTM, or EPIXTM, providing an innovative data analytics solution to help support more informed decision-making about the energy risks and portfolios you insure. It was designed to help you improve underwriting precision, reduce costs, and increase operational efficiencies.
EPIX is a benchmarking and risk scoring platform that can significantly enhance how insurers research, assess, and underwrite complex energy risks. Organized around the core energy, power, and complex risks value chain, EPIX helps provides energy underwriters, risk engineers, and portfolio managers with actionable insights on an individual risk and portfolio basis.
EPIX currently offers two modules that reflect how underwriters look at risks and navigate through information.
- EPIX Asset, the platform’s core application, offers asset and production data for hundreds of companies, including oil fields, refineries, and power plants. Insurers can map energy facilities from different companies, compare risks, and share insights with visualizations of key market data.
- EPIX Portfolio lets insurers zoom out to see the interconnectivity of assets. Insurers can view exposures to natural catastrophes and supply chain risks, compare existing portfolios to other global risks, and determine if they have the right balance of energy risks in their book of business – and from there plan a strategy for profitable growth.
Two other applications for EPIX are in development:
- EPIXTM Experience will provide a proprietary database of industry loss events, and
- EPIXTM Operations, our fourth application, will offer in-depth insights into how energy companies are managing their assets and operations.