The two core capabilities for a Property & Casualty Insurer are:
- Pricing risk right
- Paying all valid but only valid claims
Excel at these two tasks and a carrier will have a significant cost edge to exploit in the marketplace. Everything else from upgraded Policy Administration and Claims systems to better CRM and direct channel capabilities are just enhancements that allow the Carrier to better deploy its core capabilities for profitable growth. Right now the industry is investing large sums in upgrading their core transactional systems in the expectation that better transaction execution will yield dividends in cost, service, speed and decision analytics.
Two paths:
- Spend several years and nine figures to replace core systems infrastructure to improve performance and then when done, use the better information to make better risk pricing and claims paying decisions, or
- Focus on liberating the information already extant in the carrier’s systems and join that with external data to to make better risk pricing and claims paying decisions.
The former path constitutes a long lead time, high risk investment that will yield hard dollar benefits only grudgingly while the latter approach is a much lower risk, lower cost and rapid investment approach.
idFusion Auto Insurance
1 price the risk right
2 pay all valid claims
Everything else are just supporting elements.
Idf is creating a suite of focused corporate apps that ensure you can leverage all internal and external information about a customer risk to price it right and to flag customers with elevated claims fraud risk for special scrutiny. Our first app is for auto insurance.
We’re VeracityID and we develop “Corporate Apps”. A Corporate App is a focused software tool that embeds both the functionality and expertise to address specific critical line of business issues directly, quickly and at a relatively low cost.
idf isn’t a software swiss army knife. It won’t get the chickweed out of the corporate lawn, it can’t do your payroll and after were done your claims process won’t have a lemony fresh scent. What it will do is marshal every relevant piece of internal and external information and useful technique to improve the quality and granularity of risk pricing and claims paying decisions.
