Super Agent

Is Your Agency A Data Mover?

You have likely heard that we are living in a world of “Big Data.” And, as the market firms, underwriters are beginning to use data analytics to make decisions. For example, according to an article in Property Casualty 360, “modern predictive analytics takes the guesswork out of underwriting. Carriers are able to review a greater number of variables to determine which policies are likely to generate losses over time…” So, underwriters are using this technology to non-renew accounts or raise rates.

What does this mean? “Shopping the market” for the lowest price has become even less effective than it already was, since you can’t sell a story to underwriters who will be turning to the data to analyze risks.

Most agents complain about the negative implications of Big Data instead of seeing the opportunities it creates. In the same article, Wade Bontrager says, data “analytics can form the basis for a deeper relationship between agents and carriers as they work together to determine which risks to target. Shared information and shared objectives drive a stronger partnership—and one that is more successful in the long term.”

The future belongs to the agencies who leverage this technology, and who have a sales process that can get the data moving in the right direction.

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