I have mostly worked for smaller, theoretically more nimble, companies. I have had training in Scrum or Agile frameworks of software development and earlier in my carrier worked with professional project managers to implement the adoption of EPLI as a new line of business for regional carriers. It is always a deliberate process that involves a variety of stakeholders and decision makers.
The implementation curve for new technologies in insurance underwriting may vary based on several factors. However, there are a few common stages that can be observed. Initially, there is the awareness phase, where insurance companies become aware of the new technology and its potential benefits. This is followed by the exploration phase, where insurers start evaluating the technology and its compatibility with their existing systems and processes.
After the exploration phase, comes the adoption stage, where insurers begin implementing the technology on a smaller scale, such as in pilot projects or specific lines of business. This allows them to assess its effectiveness and make any necessary adjustments.
Once the technology proves successful, it moves into the integration phase, where insurers start incorporating it into their core underwriting processes. This may involve integrating the technology with other systems, training underwriters, and developing new workflows.
Finally, there is the optimization phase, where insurers refine and optimize the use of the technology based on feedback and data analysis. This may involve further customization, fine-tuning algorithms, or expanding its usage to cover more insurance lines.
It's important to note that the speed and trajectory of the implementation curve can vary depending on factors such as the complexity of the technology, regulatory considerations, organizational readiness, and market demand. Each insurance company may have its own unique timeline and approach to implementing new technologies in underwriting.
At Understudy, we recognize the hurdles for bringing on new technologies and incorporated our understanding of the process into our design:
- We have sharpened the scope and focus of our service. Rather than try to re-engineer the backroom of a carrier or MGA we put the advantages of generative AI into the hands of an underwriter. Using the platform an underwriter can properly research and document a risk in minutes or an administrator can audit a bordereaux in real time.
- The platform does not disrupt the existing insurance processing but compliments it making it more efficient. Although it can be connected via API it resides on the cloud self-contained outside of the clients Firewall. The curation of data and all programming is done our end.
- Implementation can be immediate. Calibration of the system for a client’s underwriting guidelines and the external sources of information including flood plain data, telematics, social media information and/or subscription based data can be completed, tested and modified swiftly.
Products and services designed by and for experienced underwriters and insurance administrators can minimize decision and implementation time. We can even place underwriters or brokers that have access to the system so that management can “kick the tires” on AI.
