Historically, insurance premiums were differentiated only by age, with gender (now removed in some markets) and smoking incorporated later. The introduction of a numerical rating system 100 years ago meant underwriters could immediately better differentiate medical risk. This allowed them to broaden their offers of cover beyond “only healthy individuals”, thereby realising the significant economic potential and much greater inclusion by extending cover to so-called substandard risks.
RGA's Marc Sofer, Head of Data and Strategic Analytics, Asian Markets, discusses how the newest data sets, together with existing data and novel analytics, are impacting the industry’s growth and development.
The traditional method of applying for life insurance is quickly becoming the exception rather than the rule, as more and more companies strive to improve the customer experience and expand their applicant pool by offering a faster and less invasive approach to buying life insurance.
The rise of genetic testing in recent years is fueling a debate in insurance circles over the potential risks versus benefits posed by the readily available genetic information.
Liver fibrosis is the replacement of functioning hepatic tissue with fibrous tissue. Alcohol overuse, hepatitis of any kind, and nonalcoholic steatohepatitis (NASH) often leave behind damage with not only an active process but one where compromise may persist long after the cause has been controlled or eradicated. Knowing how to assess liver fibrosis in the aftermath of these conditions is an important part of underwriting liver disease.
Accelerated underwriting programs continue to evolve at a rapid pace. Triage systems have become a key element in many of the newer programs in the market. Depending on the criteria used at the triage point, these programs can have residual effects on class prevalence and mortality, which in turn affect the profitability of these programs.
Behavioral economics is an area that is making a substantial splash in many industries and insurance is no exception. Behavioral economist Matt Battersby examines how his discipline can play a role in reducing disclosure gaps.
Life insurers are using digital health data to streamline the underwriting process