Fortis (Insurance, UK) is the first among the top 10 largest personal lines insurers to invest in a new suite of computer models from technology provider Business Insight that predict the relative risk of claims for a number of insured perils across the UK. Fortis has also licensed flood maps from JBA Consulting to enable better understanding of the impact of flooding nationally.
The Perils Insight© product suite is an innovative and powerful range of Risk Models giving a highly detailed perspective into the distribution of risk relating to Household Insurance across the UK. It is based on extensive research using the latest available information relating to weather, the economy and the local environment. Powerful computing and the sophisticated analytics are used to identify areas most likely to experience a deteriorating loss ratio across a range of perils. Perils Insight© will allow Fortis to enhance its existing view of high and low-risk areas and provide insight into postcodes where Fortis currently has little or no claims data, allowing Fortis to tune its underwriting in all areas with greater accuracy.
One peril that has been a particular area of concern over recent years is flooding. Since the late 90’s the UK has seen an increase in incidents of flooding. River flooding has long been recognised as a significant threat in the UK, but following the intense rainstorms of 2007 (Hull) and 2009 (Cumbria) there is now a greater awareness of events that have significant elements of both surface water flooding and river flooding. Fortis recognised that it required a better understanding of the impact the different types of flooding have on property (river, coastal, surface water and ground water). The JBA flood data it has now licensed will allow Fortis to assess that level of risk and underwrite more effectively.
Stephen Linklater, Head of Household Underwriting, Fortis Insurance, commented: “As we continue to develop and grow our household proposition, it’s important for us to maintain an accurate understanding of the high and low risk areas with location being the major rating factor in underwriting home insurance. The Perils Insight© product suite from Business Insight, combined with JBA’s flood data, will be a valuable tool, giving us a deeper, more precise understanding of our risk exposure, further improving our pricing in areas where we have previously been unable to write business.”
Mark Harrison, Business Insight Managing Director, said: “Fortis is one of the leaders in the UK in adopting new technology solutions and we are really pleased to be selected as a supplier partner. Our Perils Insight© risk models are best of breed in terms of the sophistication of the underlying computations and the resulting predictive accuracy. Business Insight is committed to providing insurers with the best quality products, coupled with highly experienced back-up and support. We believe this to be a compelling solution for the market.”
Jill Boulton, Technical Director, said: “JBA has created the flood data specifically for the insurance industry and we are committed to working with Fortis to help enable better understanding of the risks that are underwritten. The data uses the latest scientific approaches, together with high resolution mapping, to give a consistent evaluation of flood risk across the country for all types of flooding. JBA’s commitment to be at the forefront of our industry means we offer our insurance partners tailored leading edge flood technology to support their current and future plans.”
ENDS
For further information please contact:
Fortis (Insurance UK)
Louisa Barnard 02380 313147
Natalie Shale 02380 352754
Business Insight
Peter Clear, Business Development Manager
01295 817 672
07735 603 562
JBA Consulting
Jill Boulton, Technical Director
01756 799919
07525 730462
About Fortis
Fortis (Insurance UK) is a leading provider of award-winning personal, commercial and protection insurance solutions in the UK. Fortis UK distributes both its non-life and life products through a range of channels including brokers, IFAs, intermediaries, affinity partners and the Internet, as well as through its retail strategy via its wholly or partially-owned companies (RIAS, Fortis Insurance Solutions, Text2Insure and InsureTECH Systems).
Insuring in the region of 7 million customers and working with a range of partners, Fortis is recognised for delivering consistent and high-quality customer experiences. It employs almost 3,000 people with a head office based in Eastleigh and others in Belfast, Bournemouth, Gloucester, Haywards Heath, London, Redditch, Reigate and Stoke-on-Trent.
Fortis UK is part of Ageas, an international insurance company with a heritage spanning more than 180 years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to concentrate its business activities in Europe and Asia, which together make up the largest share of the global insurance market. They are grouped around four segments: Belgium, United Kingdom, Continental Europe and Asia. It is an undisputed leader in the Belgian market for individual life and employee benefits, as well as a leading Non-Life player through AG Insurance. Internationally Ageas has a strong presence in the UK, where it is the 3rd largest player in private car insurance. The company also has subsidiaries in France, Germany, Turkey, Ukraine and Hong Kong. Ageas has a strong track record in developing partnerships with key distributors in different markets and successfully operates partnerships in Luxembourg, Italy, Portugal, China, Malaysia, India and Thailand. Ageas employs more than 11,000 people and has annual inflows of almost EUR 16 billion.
About Business Insight
Business Insight is an independent provider of a range of data and software products that supports the pricing, underwriting and marketing phases of the insurance cycle. Its products are unique, with a number of the key data sets that feed into the company’s ‘Perils Insight’ models being exclusive to Business Insight.
The ‘Perils Insight’ databases provide detailed postcode unit predictions of the risk of theft, fire, storm, subsidence and flood for both residential and commercial insurance. The Business Insight team has extensive experience, with a number of its individuals recognised as being industry experts within their field. This expertise underpins the analytical services which can be offered to complement the company’s data and software products.
About JBA Consulting
JBA Consulting is one of Europe’s leading specialists in risk and environmental management. In the UK, JBA is a leading provider of flood underwriting solutions. JBA is an independent company providing mapping information to government bodies, local authorities and private companies.