P&C insurance is a highly competitive market, disrupted by new entrants and under compliance pressure. Pricing is more than ever the cornerstone of the Insurer’s business strategy.
Insurance carriers need to get more value from key traditional strengths like long-standing client portfolio to better evaluate risks and differentiate against new entrants. Insurers need a sophisticated pricing solution to set a better price than competition - balancing risk coverage (improving loss ratio) and product competitiveness (acquiring new clients). Things are simple, if you’re not a step ahead of your competitors, you lose money and customers.
Currently, there is a mismatch between market volatility (frequence pricing updates) and pricing execution constraints (it takes months to model risks and calculate prices).
In this context actuarial organisations are under pressure to accelerate pricing time to market, secure models quality and embed additional sources of data to improve accuracy through new variables - while keeping transparency and interpretability of the models.
AKUR8 PRICING SOLUTION
The Akur8 AI pricing solution embeds all steps of the pricing process in one integrated and collaborative solution - from data set preparation to commercial pricing optimisation and execution - leveraging the Akur8 Engine™.
Accelerate your pricing time to market
Improve models' performance
Improve your profitability
Akur8’s technological edge allows insurance carriers to improve their profits with models created and updated in hours instead of months. The disruptive technology developed by our R&D team allows to combine machine learning and actuarial worlds. Akur8 developed cutting edge algorithms - the Akur8 Engine™ - to revolutionize insurance pricing.
GLM (Generalized Linear Models, also known as Additive Models) is a well-established technique that answers all risk modelling constraints: it is easy to understand and enables a clear validation process. But the creation of GLMs is manual. Iterations and discoveries are long and slow, involving a large number of actuarial resources. Using cutting edge machine learning, Akur8 has automated GLM modelling. From variable selection to geographic smoothing, you decide the tradeoff between clarity and performance. You can immediately spot anomalies and discover new patterns. With Akur8, you can improve your models Gini and your new business Loss-Ratio.
GLM vs MACHINE LEARNING