September 23, 2022
What: Dais is partnering with Relativity6 to provide accurate 6-digit NAICS predictions and additional business information into the Dais Platform quoting process.
Quote: “What makes Relativity6 so valuable is that they can retrieve information about what a business is doing right now. Often, carriers are relying on older data that may be irrelevant by the time an underwriter is deciding on the correct industry classification,” said Aaron Larson, CRO of Dais Technology.
Read: DAIS Technology selects Relativity6 for its NAICS/Industry Classification prediction technology
What: According to J.D. Power, the Home and Auto bundle is breaking up. Auto insurance premiums have increased significantly with inflation and many consumers are shopping around to find lower prices.
Why it matters: This underscores the importance of product flexibility. Consumer needs and desires will ebb and flow with the market underwriting cycles. In some markets bundling is paramount, while in others unbundling will be crucial. If the same product can sit behind numerous strategies, carriers are insulated from these types of market changes. In the current market, many players will struggle to adapt, due to their legacy tech stacks.
Read: Rising Auto Rates Affecting ‘Bundle’ Strategy: J.D. Power
What: Root’s loss ratio for the first half of 2022 is better than GEICO’s, and Root CEO Alex Timm attributes this success to their automatic rate filling.
Quote: “We reacted faster than our competitors (to inflationary pressures). And we believe that over the last year, we’ve driven down our loss ratios substantially for the first time ever. Actually, for the first six months of this year, our loss ratios surpassed [and] are now superior to multiple of the top 10 carriers in the United States,” said Timm.
Why it matters: Filing processes and automation are underappreciated assets in the insurance industry. Days and hours matter when it comes to repairing profitability, and unsophisticated filing processes can cause costly delays. We expect filing automation to become a bigger deal over the next year and advanced systems are already building substantial improvements.
Read: Automated Rate Filings Put Root Ahead of Auto Insurance Competitors: CEO
Dais Research Report
Get weekly tech insights on important industry trends and stories. Stay informed and understand insurtech for free.