Most policy administration systems are designed for the living. They operate under the assumption that the people in the system remain alive, contactable, and actively engaged with their coverage. But when a policyholder passes away and that information doesn’t flow into the insurer’s systems quickly (or at all), a chain of operational, financial, and risk exposure consequences can unfold.

This isn’t an obscure edge case. It’s a real, measurable source of hidden risk that impacts underwriting precision, claims integrity, portfolio exposure, fraud susceptibility, and customer experience. What’s more, many carriers still rely on reactive, outdated, or incomplete data sources to detect these events — if they detect them at all.

This article will explore:

• The role of advanced data intelligence
• Why the death of a policyholder matters in P&C insurance
• The specific exposures carriers face when this event goes undetected
• How early mortality awareness changes outcomes

Why the Death of a Policyholder Matters in P&C Insurance

At first glance, it might seem counterintuitive — why would a policyholder’s death matter in personal lines P&C coverage? After all, P&C products insure things like homes, autos, and property liability, not human life.

But the reality is this: P&C systems and workflows are deeply dependent on accurate, current information about the people they cover. Policy terms, underwriting assumptions, occupancy classifications, exposure calculations, renewal decisions, and even risk tolerances can hinge on who owns the property and its contents, how the property is being used, and whether contractual obligations are still aligned with the risk profile.

When a policyholder dies, several things can change rapidly:

• Insurable interest in both the property and its contents may shift (e.g., to heirs, trusts, or estates)
• Occupancy may change (e.g., an inherited home becomes rented, vacant, or unoccupied)
• Contact information may become invalid or outdated
• Claims activity may include losses unrelated to current risk profiles

If those transitions are not reflected in the insurer’s systems, carriers may unknowingly underwrite, price, or pay claims based on outdated or incorrect assumptions.

For example, a home insured as a primary residence under one set of risk assumptions may become a long-term rental with an unknown tenant and occupancy profile after the insured’s death — yet the policy remains priced, structured, and administered as if nothing changed. That’s a recipe for unexpected losses.

The Hidden Risks of Life Events That Go Unnoticed

Let’s unpack some of the most common and costly scenarios carriers face when a death goes undetected within P&C systems.

1. Claims Paid on Invalid or Outdated Policies

One of the most direct financial exposures occurs when policies continue under outdated underwriting assumptions. If the insured’s death isn’t known, the policy may remain active, coverage continues, and claims are processed normally — even though the risk profile has fundamentally shifted.

This can lead to:

• Claims paid on coverage that should have been suspended
• Policies remaining in force without valid insureds
• Inaccurate reserve estimates
• Distorted loss ratios

For carriers operating in catastrophe-prone states — such as Texas, Florida, or California — those exposures are amplified. A hurricane, wildfire, or severe weather event impacting a large number of properties can trigger a surge of claims, some tied to policies that should no longer have been in force.

Without timely awareness of death, underwriting and claims teams are left reacting — often too late — instead of managing risk proactively.

2. Misclassified Property Use After Death

Behavioral and usage changes after a policyholder’s death are another source of hidden exposure.

Consider this common pattern:

1. A homeowner passes away
2. The property is inherited
3. Heirs rent it out or leave it vacant

These changes in use and occupancy profoundly affect underwriting risk. A home occupied by its owner generally presents lower risk than one that’s rented or vacant. Vacancy, in particular, is especially correlated to higher claims frequency due to things like theft, vandalism, unnoticed water damage, etc.

If a carrier doesn’t know these changes have occurred, they can:

• Underwrite and price the risk inaccurately
• Assign incorrect risk classifications
• Miss opportunities to adjust coverage or offer tailored product options

In these cases, the lack of timely life event awareness creates exposure that compounds over time.

3. Fraudulent or Misrepresented Claims on Inherited Personal Property

When heirs or third parties interact with a policy after the insured’s death, there’s a risk of fraudulent or misrepresented claims, particularly for personal property.

Without accurate data about death and ownership transitions:

• Claims may be filed on items that are not verifiable
• Inventories and loss values may be inflated
• The carrier may pay on claims that would not have otherwise been submitted

These types of claims erode profitability and create friction within claims operations. More importantly, they drain resources and can undermine confidence in internal fraud detection processes.

Accurate, timely death awareness gives claims teams a contextual trigger to review and validate claims before payment, helping prevent improper payouts.

4. Unnecessary Blanket Cancellations or Non-Renewals

In regions with known risk concentrations — particularly areas with large senior populations and higher mortality rates — carriers sometimes resort to broad cancellations or non-renewals as a risk reduction tactic.

Unfortunately, blanket actions like these can:

• Increase regulatory scrutiny
• Erode consumer trust
• Disrupt legitimate coverage
• Impact market conduct evaluations
• Create volatility in reported reserves

The root cause isn’t always lack of underwriting discipline — sometimes it’s simply lack of situational awareness.

With accurate, early death data, carriers can manage these decisions with precision, targeting only the accounts that warrant review, rather than sweeping entire populations.

Why Traditional Data Sources Fall Short

Why do so many carriers struggle with these issues in the first place? The short answer: most P&C systems rely on reactive, incomplete, or infrequently updated sources of life event data.

Common mechanisms for death awareness include:

• Internal customer service updates
• Returned mail or undeliverable contact information
• Policyholder outreach
• Periodic public record checks

These methods suffer from one or more limitations:

• They are reactive, not proactive
• They may lag the actual event by weeks or months
• They miss events that never generate a service interaction

In other words, carriers often only discover the life event after the downstream consequences have already unfolded — when a claim is submitted, a premium billing fails, or a customer service interaction reveals outdated information.

Another underlying challenge is data quality. Even when insurers attempt to match policyholder records against external data sources, incomplete or inconsistent information can prevent accurate identification.

Participant and policyholder records frequently contain gaps or inconsistencies such as:

• Missing Social Security numbers or dates of birth
• Name variations, including nicknames, maiden names, or spelling errors
• Outdated addresses
• Data entry mistakes

When key identifiers are missing or incorrect, even well-designed death audit processes can miss critical matches.

Addressing this challenge requires more than traditional data matching — it requires more complete data and earlier, more reliable event detection. That’s where The Berwyn Group steps in: helping P&C insurers close this visibility gap with more accurate and timely mortality intelligence.

Turning the Problem into a Strategic Advantage

The solution isn’t simply more frequent manual checks or broader data pulls. It’s about combining a richer universe of data with intelligence that can detect events earlier and more reliably. That’s where advanced death intelligence and population data management comes into play.

At The Berwyn Group, the CertiDeath^® solution is designed to provide:

• Earlier mortality detection — often within five to seven days of the event
• Access to a proprietary database of confirmed deaths sourced from tens of thousands of structured and unstructured sources
• Actionable alerts that integrate directly with underwriting, claims, compliance, and policy administration systems
• Precision that supports operational decisions, risk management, and exposure control

While CertiDeath^® delivers critical mortality intelligence, many organizations also look to complementary data quality practices, such as Data Cleanse and Location Services, to help maintain accurate and up-to-date policyholder records. This transforms what was once a blind spot into an area of risk intelligence.

The Scale of Missing Data in Practice

Recent analysis from CertiDeath^® client data highlights the scale of missing or incomplete key policyholder data. In 2025, 73.6% of CertiDeath^® accounts loading files were missing at least one key data element — Social Security number, name, date of birth, or location — across more than 1,553 organizations. Closer examination reveals several common patterns:

• 21% of accounts were missing Social Security numbers, affecting an average of 9.1% of records per account, representing roughly 5.3 million records
• 38% of accounts were missing dates of birth, impacting an average of 6.4% of records, or approximately 1.6 million records
• 66% of accounts were missing ZIP codes, affecting an average of 11.3% of records, totaling more than 17.6 million records

When these foundational data elements are incomplete, the ability to detect life events — including deaths — becomes significantly more difficult. The result: delayed awareness, missed matches, and greater exposure to the downstream risks described earlier. That’s a risky position for any insurer.

How Early Detection Impacts Key Functions

Recent analysis from CertiDeath^® client data highlights the scale of missing or incomplete key poLet’s look at how earlier mortality intelligence tangibly improves key insurance functions:

Underwriting

• Improves risk classification and pricing accuracy
• Reduces exposure from policies that are no longer aligned with actual risk
• Supports portfolio risk segmentation with cleaner data

Claims

• Flags situations where claims may be inappropriate or require review
• Reduces improper payouts on invalid policies
• Supports fraud detection workflows with contextual triggers

Operations

• Enhances contact data accuracy
• Improves renewal and retention strategies
• Reduces operational inefficiencies caused by outdated records

Compliance

• Reduces audit risk tied to improper policy treatment
• Helps satisfy regulatory expectations for data quality and accuracy

Real-World Impact: What Leading Carriers Are Seeing

Carriers that have integrated early mortality intelligence into their workflows through advanced data sources report:

• Fewer claims paid on invalid policies
• More precise underwriting risk assumptions
• Fewer unnecessary cancellations and non-renewals
• Higher quality data for modeling and forecasting
• Improved operational velocity and lower administrative cost

These outcomes matter in a market that demands profitability, efficiency, and confidence in decision-making.

Conclusion: Closing the Blind Spot in P&C Insurance

In P&C insurance, even small gaps in information can cascade into larger operational, financial, and risk exposures. Missed life events — such as the death of a policyholder — impact underwriting accuracy, claims integrity, portfolio exposure, and overall operational efficiency.

Most policy administration systems weren’t designed to detect these events, and traditional data sources are often reactive, incomplete, or slow. Advanced mortality intelligence, like The Berwyn Group’s CertiDeath^®, provides timely, actionable insights that allow carriers to respond proactively, maintain portfolio integrity, and reduce hidden exposure.

Closing this blind spot isn’t just a technical upgrade — it’s a practical step toward more informed decision-making across underwriting, claims, compliance, and operational functions. In a market defined by precision and accountability, staying ahead of these events ensures that carriers can manage risk effectively and maintain confidence in every decision they make.

Learn more about The Berwyn Group and the solutions they provide to AAIS Members at berwyngroup.com.

The post Closing P&C Insurance Blind Spots with Mortality Data first appeared on AAIS.

A major theme throughout the conference was the growing complexity and scrutiny of regulatory data requests. As data calls become more detailed and frequent, insurers are being pushed to strengthen internal processes for tracking, validating, and submitting accurate information across jurisdictions. Best practices emphasized by panelists included submitting data promptly and accurately, proactively clarifying parameters with the issuing authority, and being transparent about any errors. When issues arise in state-issued data calls, requesting a resubmission can help minimize follow-up scrutiny or potential consequences. Panelists also recommended maintaining a calendar of annual and quarterly data calls to get a head start on data collection and planning, and using visual boards, such as whiteboards or bulletin boards, to organize upcoming requirements and communicate workload to leadership. Strong communication, transparency, and documentation practices were consistently highlighted as essential to building and maintaining regulatory trust.

Another key takeaway was the industry’s increasing attention to climate resilience and the regulatory response to catastrophe risk. Resilience is no longer solely a policyholder concern—it is a regulatory and operational imperative that directly influences how insurers price, underwrite, and manage portfolios. In 2024 alone, the U.S. experienced 27 individual climate-related disasters, resulting in more than $200 billion in economic losses—a 36% increase over the last five years.

States are approaching the issue in varied but coordinated ways to reduce exposure and promote long-term market stability. Louisiana highlighted its Fortified Roof Program, which provides funds to help homeowners strengthen roofs against hurricane-force winds, reducing storm-related losses. Nevada discussed increasing wildfire risks near Lake Tahoe, where limited mitigation actions by homeowners have contributed to insurer nonrenewals. The Nevada Commissioner plans to address these gaps to help control potential wildfire losses and stabilize the market.

Technology’s expanding role in compliance and underwriting also sparked significant discussion, particularly the use of aerial imagery. With guidance now issued by 12 states in response to rising consumer complaints, insurers are being urged to ensure transparency and fairness in how aerial images inform decisions. The bulletins emphasize that imagery should be recent, consumers must be able to access and dispute it, and cosmetic issues should not influence underwriting outcomes. Since implementation, states have reported a decrease in related consumer complaints, reflecting a broader trend toward balancing innovation with responsible data practices and consumer protections.

Finally, conversations around adjuster consistency and the oversight of Managing General Agents (MGAs) and Delegated Underwriting Authority Enterprises (DUAEs) underscored the need for standardized performance metrics and strong accountability frameworks. As delegated authority arrangements grow, regulators are placing greater focus on visibility and control to ensure compliance remains strong across all functions.

The insights shared at the 2025 AICP Annual Conference reinforced what many in the industry already recognize—compliance is no longer a reactive requirement but a strategic driver of operational integrity and resilience. At AAIS, we continue to monitor these regulatory developments closely, helping Members as they anticipate change and strengthen their compliance frameworks through data-driven insights and collaborative engagement.

If you have questions about regulatory developments, data calls, or emerging compliance trends, AAIS is here to help. Our team is committed to supporting Members with timely insights, guidance, and resources to navigate an increasingly complex regulatory landscape. To continue the conversation or learn how AAIS can support your compliance initiatives, reach out to us at membership@AAISonline.com.

The post Evolving Insurance Compliance: Data, Regulation, and Climate Risk first appeared on AAIS.

Introduction to Actionable Insights

Mayfield defined actionable insights as “curated data that allows the end user to make informed decisions and ask thoughtful questions.” He identified three key components of actionable insights:

• Business Focused: A collaboration between business units and IT is required to transform data from two-dimensional to three-dimensional.
• Clear Requirement Gathering Framework: A standardized approach helps streamline the process from request to report generation.
• Data Storage and Visualization Solution: Effective reporting solutions need strategies for easy data retrieval, transformation, and visualization.

Examples of Actionable Insights

Mayfield shared practical examples of actionable insights, illustrating how data can be used to make informed decisions. For instance, a claims team leader might ask, “How does average days to close impact my cost per claim?” This question aims to identify factors that can be controlled to improve cost efficiency. Another example involves examining the performance of underwriters by asking, “What’s the closure ratio of my top-performing underwriters, and which brokers are they working best with?” To pull out actionable insights, Mayfield explained, “You want to really look at submission data and get an idea of which underwriters are performing amazingly with certain agents, which may need some help, which agencies are providing equality results…things like that.”

Helping Carriers Make Informed Decisions with Data

To help carriers generate actionable insights, Mayfield emphasized the need to focus on the business problem and not the current limitations. “It’s about what the business wants,” he stated. Mayfield explained that actionable insights are rooted in addressing specific business questions and challenges. For instance, an underwriter might be concerned with increasing policy premiums, while a claims manager might focus on forecasting staffing needs based on task completion times.

Mayfield also highlighted the importance of frameworks and methodologies in generating actionable insights. One such framework that OneShield utilizes is the “BADIR” framework from the book Behind Every Good Decision. This framework helps bridge the gap between business questions and meaningful reports. It emphasizes the importance of understanding the goals of analysis and considering regional differences when generating reports.

Solutions to Evolve Reporting

Mayfield addressed the limitations of traditional reporting tools like Excel, highlighting the need for more advanced solutions. He recommended tools like Power BI and Azure Data Factory, which enable dynamic, interactive reporting and allow users to generate actionable insights efficiently.

Utilizing Core Systems for Actionable Insights

According to Mayfield, actionable insights require a core system capable of providing two-dimensional data that meets initial business needs from day one. Rather than focusing on regulatory requirements, he believes the emphasis should be on essential data needed to manage a business effectively. This includes policy details, earned premium, written premium, renewal rates, accounts receivable, and claims information such as average days to close and average cost to close. Mayfield advised this data to be available in various formats—by region, in real-time, monthly, or quarterly. “There’s a lot of different ways to view this data, and once you get there, you might want to mix and match the different elements to manage your business,” he said. But before advancing to three-dimensional reporting that provides tailored actionable insights, companies need a reliable core system for detailed data.

Leveraging Actionable Insights for Dynamic Analysis and Proof of Concept

When developing actionable insights, Mayfield believes it is crucial to understand that end users may not always know exactly what they need but will recognize valuable information when presented with it. For example, a claims manager might be uncertain about how to improve claim processing efficiency but will benefit from a flexible report that allows them to explore various data perspectives. In a given scenario, the manager might want to investigate how closing claims more quickly affects the overall cost of those claims. Mayfield explained that the report should provide detailed insights, such as identifying high-performing individuals like an adjuster who significantly reduces the average cost to close claims. Additionally, the manager might hypothesize that closing more claims within 90 days will reduce average costs. Mayfield added that the purpose of such reports is to allow users to verify their hypotheses through concrete data. “We’re no longer speculating about what the results are,” he confirmed. “We can now make informed decisions and go forward knowing that we’re building something that’s valuable, making decisions that we can back by data, and see results in areas that matter the most.”

To view the full webinar, click on the video above.

Questions? Please reach out to any of the featured speakers through the contact information below.

John Kadous

Vice President of Products – AAIS

johnk@aaisonline.com

John Dunn

Vice President of Sales, Americas – OneShield

jdunn@oneshield.com

Travis Mayfield

Reporting Product Manager – OneShield

tmayfield@oneshield.com

The post Webinar: Leveraging Core Systems for Actionable Insights in Policy Claims first appeared on AAIS.

AI Game Changers for Underwriters

With extensive industry experience and a keen eye on the evolution of technology platforms, particularly in AI and underwriting, Schaendorf identified numerous use cases for carriers, especially in underwriting and claims. She also sees significant potential in data access and utilization. Currently, data is often presented in static reports or dynamic formats, but AI has the power to transform how data is interpreted and interacted with.

Advancing Predictive Modeling in Underwriting and Claims Processes

In addressing the future of predictive modeling, Schaendorf explained how Cogitate focuses on its application in underwriting. “We’re looking at the profile of our risks, specifically the risk attributes that come in with each different type of client,” she said. While there are similarities in some variables, many are distinct, and Cogitate’s goal is to use these data attributes to build models that predict outcomes. For instance, Cogitate aims to determine the propensity for a loss ratio based on specific risk attributes.

On the claims side, the objective is to value claims accurately, especially complex ones. “It’s easy to handle the least complex claims, such as glass and towing in auto, but when it [comes] to a case that’s going to go to litigation, how do you set the reserves on that and what does that look like over the life of that claim?” Schaendorf proposed. “I see the ability to use that data and predictive modeling to get a little more accurate and a little better at it.”

Biggest Data Challenges Carriers Face and How to Overcome Them

According to Schaendorf, the biggest challenge carriers face when it comes to data is its structure and accessibility. While some data, like written premiums, policy numbers, and loss ratios, are well-structured, other types are not. This lack of structure poses significant difficulties in obtaining better, more accurate, and more useful data. To address this, Schaendorf believes it is crucial to foster a strong partnership between data professionals and top leadership within a company. “One group has one set of skills, and the other group has the business knowledge,” she explained. Although establishing these standards is time-consuming and may not seem immediately rewarding, they ultimately facilitate faster and more accurate data access.

About Cogitate

Cogitate was formed in 2012 by Schaendorf and her co-founder, Arvind Kaushal, as a digital platform operating on a software-as-a-service model. It is designed to streamline rating, quoting, binding, and issuance across all lines of business, including both commercial and personal lines. This modern-facing platform boasts numerous third-party data integrations, enhancing its functionality. “The proudest thing I can say about Cogitate is it’s an enabler,” Schaendorf shared. Cogitate has seen rapid growth and implementation success with their clients, processing a significant volume of quotes, binders, and premiums through the platform across various lines, such as commercial transportation, personal property, flood, commercial property, and professional liability. “It’s really facilitating growth for our partners, and that’s what we’re most proud of with the company.”

Learn more at Cogitate.com.

To view the full interview with Jacqueline Schaendorf, CPCU, click on the video above.

The post AI, Predictive Modeling, and Data Trends in Underwriting first appeared on AAIS.

Challenges Facing the Construction Industry and the Impact on Insurance

The construction industry relies heavily on the insurance sector to safeguard its key assets, projects, equipment, and personnel. Rajaraman noted that currently, the industry is seeing robust demand. “This is largely fueled by fiscal policies enacted during the pandemic era and initiatives like the CHIPS Act, which have boosted both residential and commercial infrastructure projects,” he said. “Consequently, construction costs have soared steeply.”

On top of this, the increase in natural calamities has impacted both the frequency and magnitude of insurance claims. New risks are adding to these challenges. “While the industry traditionally faced losses primarily from events like floods, windstorms, and theft, it now confronts novel exposures, such as those related to renewable energy, hailstorms, and other catastrophic events,” Rajaraman stated. “These factors have created a challenging market for construction project insurance.” While many of these challenges are beyond the control of insurance companies, he believes staying cooperative demands they innovate their processes by leveraging technology and reducing costs.

How Insurers Can Optimize Costs Associated with Construction Insurance

There are specific strategies Rajaraman recommends for reducing overall costs related to managing insurance products and programs. “We are seeing an increase in the prominence of MGAs in the builder’s risk space, where they can use their market expertise and favorable cost structures for better risk assessment and pricing,” he explained. “A U.S.-based mutual carrier approached us with a request to set up an AAIS-based builder’s risk program for three distinct MGAs, each targeting different customer segments. We recommended a streamlined approach where programs, such as the AAIS builder’s risk standard, serve as the foundation without necessitating individual implementations for each MGA.” Instead, each MGA’s view of the AAIS builder’s risk program was tailored to align with their program-specific requirements. According to Rajaraman, this model significantly reduced the costs associated with establishing the programs and all three programs were successfully launched within a span of two weeks. Additionally, by circumventing the traditional underwriting process, the carrier also gained visibility into strong and weaker classes of risks, providing valuable insights into opportunities for improvement.

Ensuring Data Security and Isolation for Multiple MGAs or Carriers Sharing the Same Instance

Rajaraman has found that MGAs and carriers want to ensure there is no compromise on their data; they need to keep their data secure and isolated from other insurers on the cloud. “We prioritize the safety and security of each insurer’s data by implementing separate databases per insurer,” he shared. “This means that each insurer’s information is stored in their own isolated repository, completely segregated from other insurance companies’ data. There is also no mixing or overlap of data between insurers, thus maintaining confidentiality and integrity of each insurer’s sensitive information.” This helps insurers enhance their data security and stay compliant with regulatory requirements and industry standards. Rajaraman recommends this approach for carriers and MGAs looking to benefit from the scale of cloud speed and security as well.

To view the full interview with Anand Rajaraman, click on the video above.

The post Methods for MGAs to Cut Construction Insurance Costs first appeared on AAIS.

Catastrophes, higher building costs, and inflation are all impacting commercial underwriting performance and insurer profitability. Proper portfolio valuation is becoming exponentially important as the reinsurance market tightens. So, how can insurance companies better manage their books of business now and into an uncertain future? The answer is rooted in addressing valuation issues by tapping third-party vendors. The answer is tied to partnering with a robust digital platform provider. The answer is collaboration.

In the past, it was easy for insurers to dismiss data as untrustworthy because they didn’t want to invest in it. Now, third-party vendors present necessary advances that help to paint the bigger picture. Platforms like OneShield are the glue that brings these tools together. And, not just for underwriting purposes. In the commercial lines business, customers are generally good risk management partners. OneShield and its customers have seen tremendous engagement with agents and policyholders who want to proactively manage risk. Failing to enable that is a missed opportunity.

Undervaluation Issues

One critical issue plaguing the commercial property insurance sector is undervaluation. Many insured properties are not accurately valued, leading to potential discrepancies when claims occur. This issue is exacerbated by the changing climate, which has expanded the geographic reach of natural disasters.

The Tightening Reinsurance Market

A convergence of global events leading into 2023 resulted in the hardest property-catastrophe reinsurance market in generations. Tightening reinsurance capacity puts pressure on carriers and raises both portfolio-level and granular questions. Commercial insurers are digging into the vulnerabilities and susceptibilities of individual properties.

Beyond Underwriting

A crucial takeaway from a past webinar with OneShield and AAIS was the need for insurers to go beyond traditional underwriting practices to effectively manage a book of business into the future.

We emphasized the value of using data not only for new business but also for existing clients. The webinar showcased how third-party data and insights enhance insurers’ risk management capabilities. Platforms like OneShield act as central hubs that connect these data-driven tools, enabling insurers to engage with agents and policyholders for proactive risk management.

The Path Forward

To remain competitive in the ever-changing commercial insurance space, carriers will need to continue to embrace change along with the unknown, adopting new technology and tools along with data-driven processes to improve loss ratios and customer satisfaction. Each carrier’s path forward is different. What matters most is they begin taking steps to implement new tools and data into their processes that improve loss ratios and customer satisfaction.

About OneShield

OneShield Software provides business solutions for P&C insurers and MGAs of all sizes. OneShield’s cloud-based and SaaS platforms include enterprise-level policy management, billing, claims, rating, relationship management, product configuration, business intelligence, and smart analytics.

Designed specifically for personal, commercial, and specialty insurance, our solutions support over 90 lines of business. OneShield’s clients, some of the world’s leading insurers, benefit from optimized workflows, pre-built content, seamless upgrades, collaborative implementations, and pricing models designed to lower the total cost of ownership. Our global footprint includes corporate headquarters in Marlborough, MA, with additional offices throughout India.

For more information, visit OneShield.com.

The post Commercial Property Preparedness: Bracing for Changing Risks first appeared on AAIS.

Biggest Challenges in the Market & Addressing Them with Data 

According to Kruck, the biggest current challenges are inflation, the uncertainty of climate change, and the reinsurance market. He advocated that better data and data management are essential to address all three. “Before you can solve a problem, you’ve got to know its dimensions and quantify how big it is,” said Kruck. “You have to do that so that when you take action, you understand how you intend to impact the drivers as exhibited by the data. Then you need the data to see if you’re getting the results you want.” To tackle these issues, Kruck emphasized that ultimately, more customized data is needed. 

A Better Approach to the “Data Problem” 

Kruck does not believe the industry has a unified approach to aggregating data in order to understand and address some of the problems on a macro basis. “Typically, we as companies are using data to our specific ends, but not with a broader perspective of what our data can mean to assess things like climate change, or how we can save by mitigating or hardening our homes,” he explained. “So, I think the missing link in the question is, if you could effectively aggregate insurance data, would you get an insight into some of the ways that these trends are impacting us? And how as a society should we be looking to address them?” Kruck concludes that there needs to be a meaningful way to aggregate data, so it is safe for companies to use it responsibly for these wider issues. 

AAIS… Stepping Up to Support Members 

Foremost, AAIS has to be fundamentally current on policy forms, rates, and rules. “Inflation and changing loss characteristics are going to be reflected in the underlying rates, and companies have to be proactive,” Kruck advised. “Our rates, rules, and loss costs need to reflect that to support our companies.” On the forms side, Kruck feels pressure from an emerging issue. “We certainly are seeing a lot of evidence of the sophistication of attorneys in Florida,” he said. “Focusing on weaknesses and forms is something they’ve systematized and figured out how to do, and I think we’re going to see a lot more of that outside of Florida.” To keep up with this, AAIS has to be on top of compliance issues and encourage its Members to move up to the latest forms. 

Outlook on AAIS & the Insurance Industry 

Overall, the outlook on AAIS is very positive. “We’re owned by our Members and we’re not-for-profit,” Kruck stated. “We exist because collectively, our Members believe that we can work together in some areas like policy, forms, rates, or rules, and make companies’ performances and the industry better.” Kruck doesn’t think AAIS’s work has to stop there. “My vision for AAIS is not only to deliver very strongly our historic mission, products and services, forms, rates and rules, but to look for areas where we can provide even more value to our Members.” 

To view the full interview with Werner Kruck, please click the video above. 

The post AAIS President & CEO’s View on Addressing Market Challenges with Data & His Vision for AAIS and Its Members first appeared on AAIS.