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For insurers, a map to more accurate insurance classifications

When Natalie received an assignment to perform a virtual audit on the general liability policy for Toppling Bowls, the new local bowling alley, she didn’t realize how helpful having a tool providing associated classification data could be.1 Because while the bowling alley fell under the “Bowling Lanes” classification code 10220, did this classification cover the bowling alley’s entire operation? Without knowing that, Natalie’s company may not charge enough premium to cover these additional risks, potentially leading to premium leakage and money lost.

Natalie wondered what other class codes most commonly appear on other policies writing coverage for bowling alleys. For Natalie, and auditors working for large and small insurers faced with the hurdle of assigning the correct classifications to a policy, dedicated tools are needed.

PAAS Explorer is designed to help users save time by identifying associated classification codes quickly and easily.

Assigning the correct classifications is a crucial premium audit function that helps ensure accurate ratings and premiums. One key challenge is ensuring that all the classifications applicable for each type of operation are assigned to the policy. This is true when a policy is initially written, at renewal, and at audit.

Classifications are typically assigned based on data a customer or broker offers in an application or in follow-up calls between the carrier and the broker or customer. That’s where PAAS Explorer comes in, helping insurers save time, money and prevent premium leakage.

PAAS Explorer can:

  • Help answer Natalie’s question of which other class codes might be assigned to the policy, and what other class codes most commonly appear on policies with code 10220 assigned to them.
  • Alert Natalie to consider asking about other operations, such as restaurant type operations; billiard or pool halls; or pro shops.
  • Even show the percent of policies where those other codes appeared on the same policy as code 10220.
  • Provide Natalie with the total number of policies upon which code 10220 appeared.

Using five years of historical policy classification data, based on 14 million policy records across the industry, PAAS Explorer helps premium auditors, underwriters, and agents classify policies with added precision. Whether it’s bowling alleys, bars or blasting risks, PAAS Explorer is designed to help users save time by identifying associated classification codes more quickly and easily.

To find out more about this product, reach out to Gary Higgins.

Try PAAS Explorer today.

Gary Higgins

Gary Higgins is the Director of Operations of Premium Audit Advisory Service (PAAS). Gary can be reached at

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  1. This is a fictitious scenario, and does not reflect any specific risk or situation.

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