From Risk to Revenue: How Insurers Can Lead in Predict-and-Prevent Services

Hello, and welcome to today’s business insurance webinar. From risk to revenue, how insurers can lead and predict and prevent services. I’m Mindy Zissman, and I will be guiding today’s conversation. We are thrilled today to be joined by a great team. Jacob Clymer, the chief operating officer with service insurance companies, Manmeet Singh Bawa, senior manager at Deloitte Consulting, and Chris Bennett, head of strategy at Origami Risk. Welcome, everybody. We are here today to discuss how insurers are uniquely positioned to actually do more than just respond to losses and how they can leverage technology, data, strategic partnerships to reduce claims, enhance customer satisfaction, and unlock new revenue streams. We are excited to dive into this with all three of you. Welcome, Jacob, Manmeet, and Chris. Thank you so much for being here today. We are gonna get thanks. Okay. Great. We are gonna get started talking about the strategic shift and this big idea. Right? We we all know I’m actually reading Simon Sinek’s book now, Start with Why. So we’re gonna do that. We’re gonna start with the why. Right? Setting the stage here. So kind of that big picture behind predict and prevent. What opportunities, or pressures, let’s say, climate, customer pressures, rising claims severity, costs, fewer resources. Right? So many of our insurers are operating under all of these stresses and and pressures. What are these opportunities and pressures that are pushing insurers to evolve beyond traditional risk transfer and create, like, an urgency for predict and prevent models in insurance? So I’d love to first give give throw out the first question to Mameet. Deloitte recently came out with a paper on this topic which, the audience will have a chance to look at at the end. We’ll have a QR code at the end for you to reach out and check that out, download it, which you are a contributor, Mami. What are your thoughts about this topic, and how should the industry approach it? So if you can, you know, comment on the differences also between, of course, commercial lines and personal lines, that would be really great. Yeah. Thank you for that question, Mindy, and certainly been top of mind for so the PNC industry, for a while now. But, you know, as we see this over the past year, you know, the US PNC insurers have returned to profitability in part by raising premiums. But continuously raising prices or premiums is is probably not a long term sustainable path for success. Right. I’m you know, the world’s getting riskier, costlier, and and perhaps even more interconnected than ever before. And so if the industry did not evolve, I think it risks losing relevance and trust. I think those are the cornerstones of the business. The risk challenges to both individuals and businesses are, you know, in the headlines every day for all of us to to read, you know, whether those are, shifting weather patterns around wildfires, floods, and and hurricanes of of sort of record breaking magnitudes, or the economic volatility which is making, you know, every loss that much more expensive to settle. And so, you know, a claim that used to cost in the thousands can now cost orders of magnitude higher than that. But at the same time, you know, technology has really transformed what’s possible. So technology is not the barrier anymore. You know, whether that’s sensors at at homes or businesses, which which can detect fires, leaks, intrusions, before a loss actually occurs, I think are are all prevalent and available for sort of the mass, the masses now to to sort of use. I think with telematics and and and the rise of predictive analytics, just being able to sort of have that foresight, to prevent, you know, those losses, I think I think is a is a true game changer. It’s very interesting in a lot of the research and and market understanding that, you know, we’ve we’ve developed internally. The customers also changed. This is you just don’t, want that check after a disaster. You really wanna prevent that. So that that disruption to life or business is is far more painful, at least the perception of, than, than ever before. So so they need help avoiding those disasters. And all of what I’ve described is not just the sort of theory or the or the concept shows around this. This is already happening. You know? So whether that’s auto insurance where, you know, coaching apps are trying to cut down accident rates or, you know, from a from a home and and property standpoint, thinking about water, water damage prevention, especially the the catastrophic kinds. And it is not just limited in personal lines. So, you know, even commercial insurance and, you know, we’ve got Jacob here, and he’s gonna talk a lot about this too. You know, whether that’s wearables and safety tech in in workers’ comp or it’s related to sort of proactive defense and cyber insurance, we’re seeing those use cases emerge across sort of the swath of of PNC. Alright. Okay. That’s a great overview. Thank you for that, Mami. Chris, wanna turn it over to you here. Origami risk is, of course, known for having a platform that helps assess risk and helps insurers run their business in general. Can you speak to how Origami’s clients are actually using the software to drive demand, for more proactive service models when they, you know, when it comes to risk. It’s really interesting sort of from our perspective. Obviously, we started Origami started as a tool for the commercial insureds. Right? So we ultimately built a platform that serves the entire insurance industry, but it was really built around the the needs of the commercial insured. So what is the what are the risks that they’re facing? What steps can they take to help mitigate those risks, which certainly include, how do I reduce the number of losses that I see? Right? How do I control the cost of my book of risk? So from our perspective, you know, that’s sort of been deeply ingrained in who we are, and that’s certainly the case for the folks who work with us on the the commercial insured side of the business, right, which traditionally started with more high hazard businesses, larger corporations where they had dedicated risk managers and dedicated risk management teams and big safety teams that were focusing on how do we actually reduce the the frequency of claims. How do we make a significant impact on claims in our organization? What’s interesting from our perspective is, obviously, we also engage insurers, and and we certainly serve them in a number of different capacities. But what we’ve seen, specifically, over the last couple of years is more and more demand from the insurers looking for tools that they can use to collaborate with their customers, even even going down beyond just the high hazard or the very large corporations into the middle market. Right? So how can we look at a tool where we can share this information, We can make the kind of analysis and recommendations to their risk risk profile that will help them to mitigate some of those risks. So in essence, access to tools that might have traditionally been, you know, not on the radar of some of these smaller insureds. You know, they’re starting to get access to those tools through their insurers, which, you know, if you think about it, really makes sense because the the two parties that are have the the highest interest in seeing the reduction in the number of claims are obviously the insured themselves to help their, you know, overall cost because to Manmeet’s point, there are costs beyond the direct cost of a claim that you incur whenever you have any sort of a loss. You know, it helped them to reduce those costs on their end and clearly, the insurer has a vested interest in trying to keep the the severity and frequency of claims down. So we’re seeing those two things come together, and and a lot of insurers that are really looking for a tool that they can use with their customers, with their policyholders to to provide that same sort of access. Okay. Great. Well, that leads us to our first poll. We’d love some audience feedback today. Let’s see. Here we go. This is the question that will pop up for you in a second. Which area of your predict and prevent strategy has the greatest potential for impact in the next twelve to eighteen months? So here we go. Launching the poll. If everybody can go on and make your selection, expanding scope of services, improving customer engagement, automating preventative actions, monetizing services, measuring, and improving the ROI of prevention programs. So we’re gonna give everybody a minute or two here to to fill this out, and then we will share. About half of you have voted. If you haven’t voted yet, please do. I’m a close the poll another minute. Okay. So here are the results. Everyone can kinda take a look at this. And then we would love to, of course, you know, have I have our, panelists here comment. But let’s see. The most looks like nearly forty percent are automating they’re looking at automating more preventative actions and workflows. You know, second in, of course, measuring and proving the ROI on preventative programs as well. Jacob, how do you and your organization think about, you know, risk the concept of risk prevention? And, you know, does this kind of reflect some of your your thoughts and and where you see kind of your peers and and other insurers going? Yeah. Thanks, Mindy. And the and the the results really speak to to how much risk control touches, organizations, across multiple aspects. And as we all know, risk control is a a significant part of this industry and and an essential part of workers’ compensation, which which I’ll speak a little more specific to, really, and think how how we think about insureds, our clients, and, and that’s across across the spectrum from small businesses, to large businesses. But the this also applies to personal lines. And as a really, the poll suggests, when you think about risk control, it it it really applies to all those aspects I talked about. When you when you think about, Business development in the marketing front, risk control significantly contributes to client retention and growth as as that value given to that insured Can drive business decisions and and buying decisions. So the the the partnership feel that’s created and having a trusted adviser, that that insured can have that that that feeling. Like, this insured, this agency really is looking out for my family, my customers, my employees. That that and, again, that that grows across, all lines of of business. What it also can bring is is really brand, value. The industry thought of of can be a thought that, insurance is just a commodity. It risk can can really go against that. It really brings brand value to your company, to your agency that, that there is value in what you’re providing and and the aspects that we talked about. The there’s the also the obvious financial aspect. Insurance is an a a competitive open market business with with competition. And, really, the the the value that you provide in risk control to prevent losses away from the average, away from the expected loss, There’s, better economic, performance in terms of, actual loss ratio or or margin, if you will. But, also, it allows you to more laser focus, your pricing of of that business. And then another aspect I’ll mention is is really Amit touched on it, is is really the the social aspect that we, as an industry bring. And and that’s that’s these preventive services are, are really helping helping prevent trauma, prevent, the potential of death. Mamit used the word disruption of life, the phrase disruption of life and and really the the social aspect of what we as an industry can can bring. Okay. Great. And I I would love to kind of put that over onto Mameet also. Like, what actions, Mameet, are you seeing from insurers and looking for ways to, like, further foster a prevention mentality? Ami, do you have an example? I think so. Okay. Yeah. Sorry. That’s a great question. And, you know, I I see this as almost a second order challenge. And the challenge is insurers don’t just need to bolt on tools, but there is a need for a prevention mindset in how they operate, go to market, you know, engage customers, and create value. And, you know, to that end, I I see there’s two or three different models in the marketplace. The first one, you know, being predominantly around, like, how do I embed risk management into products, not just the coverages, where you’re bundling them with the coverage, but also partnering with tech firms to to bring that prevention closer to the customer. And the second one is, to deal with incentive alignment. So how do you sort of drive that adoption of this mindset, especially on the customer side through whether that’s pricing, rewards, any sort of credits, make the make the value financially visible to the insured. And then the third is, you know, where insurers are increasingly becoming that trusted adviser, you know, as as was being mentioned, whether that’s in, you know, risk climate risk modeling or cyber defense training or perhaps even getting into more lifestyle services around home safety, financial planning, etcetera. Now all of this, again, would be fairly intuitive, but I think there’s sort of inherent hurdles, you know, cultural and structural that I think insurers have to really, you know, address to show that, shift. And some of this would be thematically, you know, what I’ve just said, but, you know, moving from an indemnity vehicle to truly becoming that risk partner, that trusted adviser. Right? How to drive ongoing engagement with the insured rather than just that that sort of touch point at the time of a claim or at at at renewals. Right? How how are you helping them avoid these risks on an ongoing basis? And then finally, getting away from this transactional do everything in house to an ecosystem thinking. I think I think part of doing this well will mean being able to stitch the right partnerships, as you bring these solutions and offerings to market. Alright. Great. We would love to, go back to your your kind of first answer to that question about collaborating with customers. Engaging insured is, of course, crucial to this, but it’s not always easy. Let’s talk about what strategies are actually working. So, Jacob, I’d love to turn it over to you first this time. What tools or tactics or approaches have helped your policyholders’ engagement in preventative behavior? And if you can, of course, share any illustrations, examples, that would always be great. And then if you could also talk about the role of tech, you know, in all this implementation. Yeah. Absolutely. And you’re you’re spot on. It’s it’s not always easy to to have that engagement and and collaboration, that that really the panel has talked about. And what what what we’ve seen be valuable, and and really this is probably like most things in life. It’s it’s it’s it’s articulating the value of why does this matter? What what does this mean to you, business? What does this mean to you insured? And what what I deserve to be motivating, in the industry, and I’ll I’ll speak to two things, really from a a commercial point of view. But one is is articulating the total cost of business. And and the immediate tangible data point that you can point to is the the cost of the insurance policy that day. But but but having the ability to have a more robust conversation of about what can risk control what risk control can can provide to the total cost of the business, when there is a less safety focus or an engaging in preventive services. And what what we talk about in in total cost is, for example, when there’s when there’s frequency of an employee being out, or what for an injury or what what does that do to the output of your company? And that’s if if, one of your delivery drivers is out because of an injury, if if one of, someone in the manufacturing is out, what what does that mean in terms of total cost to your ultimate product, to your ultimate service? That’s, just when you don’t have that that safety focus industry. And and then on the flip side, when someone is out, what what is the total cost of of finding a new employee, training that employee, onboarding that employee, because of because of the energies, you need to to replace? And then there’s the cost of whether it’s personalized commercial lines. When your when your company when your household has frequency and severity of loss, future future policies are going to be more expensive. And so really building that into what what does this mean. And then there there’s more unquantifiable costs, when when they you have a a business, that that has less of a safety focus or less of a safety culture that can create some, employee morale and and just different motivating factors within that. So it it’s really talking about the the the quantifiable as well as the unquantifiable parts of, safety management within that business. The other aspect, and and it’s been really talked about a little bit, it it’s it’s it’s making, making the experience, making what is happening within the business visual. And Mami just talked about this, Whether that’s a dashboard, graphs, trends, cause of loss, having those results in front of you in a visual format, it gets away from, the perception of a risk control person saying you should do this better. When you have the when you have those visuals, it it it can speak to the the conversation you’re having, the discussion you’re having, but it also can speak to, cross departmental. And I I I mentioned that of in if the head of finance is in charge of making insurance decisions, but really the the four person on the in the manufacturing plant is really seeing and experiencing what is actually happening. And that that communication is not there. A visual of what’s happening can can can really transform that communication and show what is what is happening. So I I think it’s really two two of those. It’s really articulating the value, as well as making those visuals. Okay. That’s great. And you talked about different roles and stuff. And, Amit, that’s what we wanna ask you is if you can talk about the roles of the various stakeholders in all of this. Yeah. Yeah, I I I will I will say this many times on this call. You know, the future of the sector or the industry relies on partnerships. I I think just especially where where we are and how customer needs and and propositions are evolving, it’d be very hard for you to stay sort of relevant in the market if you don’t have sort of the right partners and ecosystems aligned. Specifically for risk management, though, you know, it’s very rarely delivered in house by carriers. In most cases, it relies on a broader ecosystem of influencers, partners, you know, use whatever word you wanna use. Now, historically, the traditional sort of ecosystem included, you know, the carrier, you know, that was you know, has to now move beyond sort of that traditional underwriting and claims business to the architect of this ecosystem. Obviously, the policyholder where you they they have to now start thinking about, moving from being a passive buyer into an active risk manager by themselves, in a lot of cases, especially as it relates to businesses. The brokers and agents, you know, I I cannot, overemphasize the role that that the channel plays here. And a lot of times, they control the relationship. And so how do you translate I I think Jacob made that very important point. Right? Like, that value thesis has to be conveyed in a lot of cases by by the broker. And, obviously, we we are the regulators that were setting frameworks for personal reward, sorry, for, for prevention as well as resilience. I think the future of of this space will have, you know, several more partners or or ecosystem, entities that will start to play a role. You know, Chris mentioned technology and data providers. I think they will have a big role in how these services and insights are getting delivered, to the insureds and and sort of the other, stakeholders involved. And then I also see a role for, sort of communities and industry bodies. So whether that’s, you know, how do I how do I sort of drive the adoption of fire codes, flood defense, cyber hygiene? So think of, like, cyber consultants, municipalities. You know, it will take a literal village for this behavior shift to sort of permeate through the entire, entire ecosystem. Right. Okay. And we’re gonna now shift to everyone’s favorite topic, data, our real foundation here of it all. So platforms like origami break down silos, but how does that really show up in day to day operations? Chris, I would love to to task you with explaining this one. Can you walk us through what a unified view of risk data looks like in actual practice? Like, where your clients are using this to become an actually a strategic, you know, risk management partner. Certainly, Minnie. And that’s that’s a that’s a very large and loaded question. Right? Because the reality is there, the insurance is a data rich industry overall. We have a ton of data, understanding how to get the right data to the right person to provide the right insights so they can take the right action. That’s sometimes been somewhat of a challenge. So when you think about kind of a unified data view, and and certainly we can’t cover all of the various components that go into, you know, a sophisticated risk operation. But but if you start with, what are all of the potential exposures that I have as an insured? Right? So what where are my potential losses? And and a a holistic view of what those look like combined with, okay, now how am I actually insuring those losses either at market or what portion of the risk am I retaining? And then ultimately, the loss experience against those particular exposures. So that that starts as the foundation. Right? That’s where everything sort of starts. That’s that holistic view of all the risk data. Where it gets interesting is when you start combining trending. So the ability to consolidate that data through time. Meaning, even if I am with a particular carrier and I’ve only been with them for three years and I’ve got thirty years of history, you know, I can consolidate that data so that I can run trending across a much longer period of time to start to look for patterns. Right? And this is where you can also start to apply, obviously, as technology moves, there are a lot of companies that are doing interesting things with machine learning and AI and now combining that with GenAI to say, okay. Here are the risks that we potentially see within your particular portfolio of risk. Right? Here are all of the exposures that you’re carrying. Here is the, you know, specific nuances of each of your properties. Here are the things that you need to address to avoid a potential loss. So you’re starting to see a lot of that. The other, component, and and Jake mentioned this earlier, is the ability to start to make sense of your total cost of risk and really define what total cost of risk means to you. And this is where, you know, any one risk manager, especially at a smaller organization, you know, maybe it’s a part time job for them, may not fully know, exactly how to calculate or what components to look at. But but to Manmeet’s point about it takes a village, and the role that brokers and agents play and that even the insurers can and are starting to play, of kind of that trusted adviser where you say, here are all the things you need to think of when you wanna look at your total cost of risk. Because it goes beyond just what premiums have I paid on the particular policies, what claims dollars have I had to pay out that were within my retention or my deductible, so what what are my direct costs that I paid out, And it gets to the much more intangible. Right? So what are the indirect costs for me of every loss of this particular type? And the ability to store that data, and then to apply that in a formula where you can start to look at your total cost of risk, then you can start to make sense of what what is this really costing me and where should I be spending my time? Because the reality is time is is not infinite. Right? Everybody has a they have regular jobs, they’ve got other things they have to do. So understanding where to focus is what really becomes important. And and I think the combination of good tools and those advisory partnerships that help to say, hey. Here are the areas that are really driving your cost of risk where you need to focus. And then the forward looking generative AI tools that we’re seeing continue to develop where you can just put in a simple description, and a photo of the business, and it’s gonna identify a bunch of types of risks that you may wanna think about. Right? The tools are getting better to start to look at where those risks exist and then what the mitigation strategies are. So how do I actually prevent? And then ultimately, I think what what becomes important, and I think somebody said this in the first poll, how do you measure ROI? So we’re we’re spending dollars to put in place programs to mitigate certain types of losses. How do we know if that’s effective? This is where having that data in a unified system starts to become important, Because you can spot the trends and look at what the dollars were on a per claim basis or on a per location basis, before you implemented that particular recommendation, that particular action, and then after? And am I trending in the right direction? Was that the right place to spend my time and money to help mitigate and drive down my cost of risk? So complex question, number of ways to answer it, but but, obviously, data is at the center of everything. And I I think your point is well taken that it’ll be different for every business. Right? Every organization is gonna look at their TCOR, at their ROI, and have to look at it from a different angle. And that’s why, you know, having it all in one place is so great. And that is a great segue to to pump this to Jacob, but we’d love to hear from you as a user, you know, how gaining better access and consolidating your data, you know, did impact your ability to reduce claims and make faster decisions, have a better ROI. We’d love to hear from you. And, of course, if there’s any performance data you can show, that would be great. Yeah. And and thank you. And and and and Chris is really spot on in terms of, the the amount of data is not the issue. It it’s really having the ability to, harmonize that data and and subsequently empower it to make decisions. And and, and with with what you can do as a a carrier and agency with origami, with with Deloitte is is really having that the ability to use that data to find correlations, really use it as a mirror to to try and see around corners, with with an insured using using that risk control and preventative measures. It’s it’s Chris talked about it. It’s it’s really correlating those loss trends. It’s it’s type of loss. It’s it’s it’s in, jurisdiction. It’s type of business. It’s data higher. And and then really overlaying third party data, like unemployment statistics, driving statistics, etcetera to to and and that’s what we have used to better enable, our risk control advices and outcomes. And, Minnie, you talk about an an example that the I I mentioned, data hire, when talking about just some correlations. And just as an example of of correlating trust loss trend, there’s, just as an example, saw an insured, having frequency, loss and and, frequency and severity within their losses. And we’re able to correlate to that losses with newly hired employees within ninety days and really having those categories to be able to to get that and and and correlate that. And and really what it it it instructed us to do from a safety management, from a risk control standpoint is is really helping that insured with onboarding, with training of new employees. What what is missing that in that first ninety days of a new employee. It it’s really creating loss. And so it it’s really having that type of data to really empower our decision, laser focus of what what we wanna do with that in particular insured, as opposed to a a checklist, if you will. Okay. Great. That’s awesome. Okay. Well, we are gonna go to our next poll here. Give everybody a chance to kind of dream. Right? Where would you which area would you improve your risk data strategy if you could? So we are gonna, well, oh my gosh. Uh-oh. I lost the ability to get the data, I think. Was it closed here? Okay. Something to think about here. Which area of risk data strategy would you want to improve if you could? And some of the ideas were integrating more data sources, improving data quality accuracy, assessing real time or near time, data, enhancing analytics, and making data more accessible. I know we lost the ability to have the poll here, but if, if Jacob or Monique or Chris, if you wanna talk about any of these that you see that a lot of the folks that you work with are, you know, kind of looking to do, which, you know, which are the areas of somewhat what are their kind of, like, pie in the sky desires, and what do they what do they wanna do next? What are they looking to do? That would be great. Yeah. Maybe maybe I can start and, you know, obviously, would love to hear what what Jacob and Chris have to sort of add. But I think all of the topics or points, Mindy, you mentioned are valid, and we’re seeing that in the market. Right? I I do wanna underscore something that Chris said. Better data isn’t just improving your models. It’s fundamentally changing the economics of running an insurance business. It is it is far more foundational than a lot of cases people give it credit for. I think this is driving both top line and bottom line. And my belief is that, you know, the future winners in this space are gonna be ones who treat data not as a byproduct, but as sort of that central engine of value creation. Right? Where I am seeing the greatest emphasis and and energy getting put in now and, obviously, you know, so the AI wave continues to sort of go. But in order for you to be prepared well for it, I’m I’m seeing a lot of carriers spend time around laying the foundation. Right? What is that what is that data platform? How am I looking to standardize the data? How do I enrich what I have with additional third party sources to to drive better decision making? A lot of the leaders in the space are already starting to, leverage AI in sort of the heart of the business topics, and all of that’s enabled by having sort of that foundation in place. Right? So, the ultimate vision will be for an insurer to to leverage and synthesize this data into insights. We’re data rich, but oftentimes insights poor. Right? And so I think how do you sort of bridge that gap becomes a critical driver of of success. And those insights aren’t just for, like, your internal ops. In a lot of cases, they’re also very valuable for your policyholders, for your, you know, prevent risk prevention partners, and and others. Right. Jacob or Chris, anything to add? Nope. Okay. Well, we can definitely move on to our next topic, identifying patterns and opportunities. So once we have data unified, hopefully, right, we can skip to a big place, but the magic is really in the patterns, right, in the analytics and kind of surfacing what what what can you tell from all of this? What can you kinda figure out? It’s spotting, you know, risk before it hits and actually having the ability to do that with the data. So it’s kind of like the data and then part two. So, Mammy, what are some of the emerging preventative opportunities that insurers should be looking at that maybe aren’t so obvious or they’re not doing already? And how will they determine which actions to take next that will be, you know, most effective or valuable to them? Yeah. And I I’ll tie answering that back to the economic. Right? So, again and and, you know, as we as we continue, that’s literally where the rubber meets the road. Right? So unless we’re able to sort of demonstrate that value, a lot of these things kinda fall flat. But, you know, I I see some of these services being offered, you know, pro bono or or pretty negligible cost for simpler risk. So as you think about, like, the water leak, sort of situation or use case. However, there are sort of more complex scenarios and situations where some of these measures are requiring sort of a cost sharing model, if you will. I I you know, taking an example in in several states, I I believe Florida being one, you know, companies are offering discounts to policyholders as they look to fortify their homes for you know, against hurricanes, securing roofs, and and the like. So some of these examples of of preventative measures exist today. If if I think about, you know, the high net worth segment as as one, you know, we certainly see, carriers operating in that space contract with, you know, private companies to offer wildfire protection services. We are typically in California and and some of the other sort of wildfire prone, prone states. But broadening a preventative effort could go much further. And, you know, a lot of our research indicates that investments into, as an example, just bringing US homes up to code could have a ten x ROI from a prevention of of losses. So so the impact is truly large, and, you know, any actions we take towards in in that direction will will have positive payouts for for the, for the entire industry. Yeah. Yeah. Chris, anything that you wanna add there? No. I I think that, you know, certainly, the the patterns and, you know, Manmeet specifically mentioned, like, the water break. I think where you’re gonna start to to see it, and I think we address this topic a little later is it it’s great to have that. What action does that drive? Right? So how do we start to Right. Ensure when we’re applying these technologies, you know, what are we driving from that? So identifying the patterns is certainly important. I mean, we see this certainly with telematics. So we’ve got, you know, a number of clients. We have a large transportation business, both directly with some of the commercial insureds, the larger transportation companies, and then also with insurers, and other entities that actually insure large fleets. The more data they have on driving behaviors, they can start to spot those patterns. Then it’s about action. Right? And and I think that that’s what really becomes important. It’s it’s how you use the data once you have so much data. Right. Okay. And that literally brings us to our next conversation, which is, you know, how do we take all this analysis and all this data and then, you know, what do we actually do with it and how can we do it quickly. Right? So, you know, we know that ideas and insights aren’t enough alone. Right? That’s where automation can be helpful. Chris, can you walk us through how a preventative workflow might actually work and Sure. Then if you have any any examples. Yeah. More the historical context. So the way things have traditionally been, the touch point between the insurer and the insured in this regard is typically gonna be initiated because there’s some sort of of loss control service that they’re providing. Right? Either somebody goes out and performs a site audit, takes a look at at the particulars of that location, all of the equipment on location, and they make make recommendations, findings that come out of that, and they may work with that insurer to try and mitigate those. Sometimes they’ll build that in, obviously, to to the policy itself, into the underwriting process of the policy. From a workflow perspective, if you think about that in an ongoing cycle, right, so that’s something the insurer may do once a year. Right? But but if you’ve got a tool that allows the insured to periodically go out and do these things on their own and you can you have that sort of shared environment again, then you can have things that are automated and you can keep track of, hey, there was we saw this thing occur. They went out and did their own. They’re they’re mitigating. We might wanna provide them some advisory services. Let’s reach out. Let’s have a touch point with that client. And in those cases, what you’re really trying to do is drive the preventative action faster than it would have otherwise been. Right? Because time the longer that that sits out there as a potential risk, the the higher the likelihood that something bad eventually happens. So you wanna get those risks mitigated as quickly as you can. I think what you’re starting to see, and to take, like, a totally different type of example, like, I talked about telematics, beyond just having to go out and do a site audit, if you have access to data and the data says that you’ve got a certain behavior, for instance, in in a driving pattern with a particular driver in a fleet that has, you know, historically, we know is a potential risk, we may want to go to them to to set up some sort of a mitigation, process. Maybe it’s a training. Maybe it’s some sort of of discussion with that particular driver. Hey. We’ve noticed this behavior several times. We wanna try and stop that. The idea is the faster you can get that data to people who can ultimately help to change the behavior, the the more likelihood you have of positively impacting, you know, the the overall claims experience and reducing the number of claims. So from our perspective, we see this in all sorts of ways. I mean, those are obviously a couple of examples. The the key is once you have the data, can I build a workflow that lets me, as quickly as possible, get to the person who can actually change or alter that potential risk? Yeah. That telematics one’s a great example. Everybody can kind of understand that. Right? Okay. And, Jacob, we’ll we’ll ask you what you’re seeing in the field. You know, how has automation and kind of, like, that speed of response been able to help your teams and customers mitigate risk? And, you know, what’s kind of next? Like, what are the future opportunities in this way? Yeah. And well and and I’m thinking I’m thinking about automation in a in a couple ways. One one is, really, the automation of communication and workflows, as as basic as that that sounds. But it it we as an industry have just the expertise and the the white papers that train, around a myriad of topics in commercial and personal lines. And it’s really the the ability to get that information into the insured’s hands, into the user’s hands, and and the ability to use it. And and having that automation to to pinpoint, that particular topic to that insured, whether that’s email, text, or however that, that insured or company, ingest communication is, it has been extremely strong and, even even, new topics, but also reminders of when you can pinpoint, better by jurisdiction and class code, winter is coming. These are things to think about within that that industry. Though, even intuitive things, those reminders are extremely helpful. And, as we know, we’ve we’ve taken we’ve taken trainings before that that guy I already know this stuff. But when you go to it, there there’s strong reminders within that. And that automation and workflow is is extremely strong. And and the other is is is some of the things we’ve talked to. The the technology that is there, whether it’s AI tools, videos, wearables, specifically, and and workers’ compensation. We’ve talked about telematics and and even just front and rear facing video, the flood mitigation that we’ve talked about, lightning, lightning preventer or lightning rod type products, are are are really more sophisticated than they’ve ever been. Speaking specifically to risk control, there there’s incredible technology, in terms of wearables, AI videos, AI overlaying, just different risk preventative, outcomes and and analysis that I would still say in the workers’ compensation is greenish in terms of adoption. And it it’s it’s really making those more more vocal, more more shown, being able to create that, articulate that value of why why this matters that we we talked about in the beginning of it. I mean, but one thing we’re doing in, like, manufacturing and and similar jobs is is utilizing video with an overlay of an ergonomic, focus of analyzing movements at a workstation, and a, or a floor where it’s it’s it’s looking at motions and bending, etcetera, really to determine suboptimal movements and other strains that may not happen while that video is going, but it’s going to happen. And and I think that we talked about it earlier. That visual is extremely powerful when when you’re showing that when you’re showing, in this case, that body movement is a red as opposed to a green, it it really speaks to it as, again, as opposed to mom or dad saying because I said so. It’s it’s a really strong, powerful visual. Wow. That’s great. Haven’t heard that. That’s awesome. Okay. We are gonna let everybody play future again. Which area of your prevention strategy has the greatest opportunity for automation in the next twelve to eighteen months? So there’s the poll. Go ahead and answer, respond. The options are, of course, real time risk alerts. That’s not something brand new, but definitely something helpful, scheduling and dispatching inspections and service providers, customer communications, engagement workflows, claims triage, early intervention triggers, and data analysis and reporting. Everybody go ahead and vote. Let us know what you’re what you’re hoping to do. What’s next? Okay. Almost half of people have voted. Give another minute or so, another few seconds for everybody to continue voting. Okay. Great. So here are the results of the poll. Definitely about more than, you know, about a third say data analysis and reporting. So that’s obviously that’s obviously super important. Right? You have to have the information to be able to then, you know, decide what strategy to implement. That’s huge. Customer communications, also big. Real time risk alerts. To our panelists, any any thoughts on this? What are other preventative processes that you see folks engaging in in the next twelve to eighteen months? Anything that’s not here? I you know, from my standpoint, I think and this list is is pretty comprehensive as at least if as I look at, like, the near to the midterm. I think the eventual answer will will include doing all of the above. Having said that, you know, if I if I was to kind of look at real time risk alerts and customer communications, I think, you know, the the conversation that the panelists have had, I think it leads to just having that messaging available at the time when does it when a when a a likely catastrophe is top of mind for insured, I think that’s pretty critical. I do wanna sort of talk a little bit about why this has not happened though at the pace that we we all live in. Right? In in what we’ve observed, I think there’s two or three key barriers that have prevented sort of the pace of change. The first is just, I think, how quickly can carriers pivot their mindset and ways of working, you know, which which relates predominantly from this policy issuance orientation to a risk management orientation. I think that’s that’s pretty important because that has downstream operating model distribution implications. I think the second is to that point around technology. Right? How how well can they integrate data and systems to generate those triggers in a timely manner? Again, I think it’s the timeliness which is of essence. We’ve had these these alerts for the longest time. I would, you know, question whether they’ve come in at the moment where where you had top of mind awareness and attention from the insured. And then the last is this this topic around trust orientation. This is, you know, this this industry is all about, do I trust my carrier? And being able to sort of identify so the right balance of sorry. Incentives and that demonstrable impact, I think has been has been relatively lacking. And the faster we can sort of show that value equation, I think the the faster you’re gonna see this uptick. And that’s where my encouragement for for most insurance carriers will be. That’s great. Okay. Well, we have we’ve talked about a lot here. Right? We’ve talked about tech. We’ve talked about engagement. We’ve talked about analysis. Now let’s talk about monetization, everybody’s favorite topic. I know a few of us have mentioned ROI here, but let’s talk about that. How do we turn all of this into something that’s actually, like, valuable, a value capture service for insurers? Manmeet, we’ll we’ll start with you. What business models do you see emerging for services like bundled, subscription, usage based? What are some of the things that either people are doing now, folks are doing now, and and looking ahead to kind of in what’s next as well? Yeah. We we’re seeing experimentation with with several different models, Mindy, like you like you just mentioned, whether that’s bundling, the subscription, or usage based. I do think that there is no one size fits all. So depending on the kind of risk and the and the customer segment you’re targeting, I think your strategies will have to have to sort of flex a little bit. Having said that, it’s it’s always gonna be important for you to come back to that fundamental of what value is being delivered to the insured and and how is that value, sort of being shared with the, with the insurance as as one example. Now two believers, again, you know, the the more obvious one is there’s there’s value that that is getting created through risk reduction. That’s the most immediate financial benefit that that you can often realize. It’s not from any fee income, but from just a improved loss ratio or or loss characteristics. You know, from some of the research that we’ve done and and, you know, the paper you’ve alluded to, what you’ll note is if there was about three and a half billion ish of, of money again going back to US homes, there is a loss loss reduction potential of nearly thirty seven to forty billion dollars, in the next five year. And so just just being able to sort of realize some of that value is is a is a pretty compelling part to consider. Is that because of sorry. To interrupt you, is that because of the, like, new technologies and all of, like, the new abilities to do what we’re talking about, which is, you know, that hit risk head on before it becomes lost? Okay. Correct. Exactly. But, you know, for some, some cases, we are seeing this direct monetization services, whether that’s a one time fee or subscription. I think it depends on what kind of service you’re looking at. But we are seeing insurers charging directly for services, whether that’s inspection, sensor installations, any sort of, you know, customer alerts, etcetera. Now these could be tiered. These could be add ons. These could be usage based. Again, you know, horses for courses. But, again, like, I think just from a fee based revenue stream standpoint for insurers, you know, we we still see it being pretty healthy. It’s it’s somewhere around the twenty billion ish ish mark right now. We expect it to more than double to nearly fifty billion by twenty thirty. So that’s a pretty healthy CAGR out there, you know, especially if I compare it against premium growth. Right now, I think the most, fee based services tend to be targeted towards commercial lines because there’s just the natural complexity, in that space, which which is not there in in personal lines, in general. But I think even there as as you see things like autonomous vehicles or or sort of seeing severe weather events become more prominent, you are gonna see a lot of this, you know, percolating down onto the personalized side. Now this might have an impact on and and, you know, make underwriting and portfolio management even more challenging than it, you know, is today. But these advancements in technology are certainly making it possible for insurers to be there for their insureds, as they try and prevent risks. Now what I would say at the end to conclude is you you’ve gotta be strategic about how you think about monetizing. So so see where where that revenues where or what you charge for and what you offer to differentiate in the market. Right. So some early warnings could be free, but some sort of an intervention, you know, whether that’s a contractor or a Wi Fi protection example that I that I sort of offered could be built. So there is there’s this fine line between a risk adviser versus being a service and an upsell, sort of dynamic there. Okay. Great. Thank you, Amit. I know we’re running close to time. Jacob, I’d love to offer to hear from you about the value or capture, and what you’re seeing from a carrier standpoint. And then since we’re kind of nearing the end, if there’s any other takeaways you wanted to share, that would be great. Yeah. No. I appreciate that. And and I’ll just being conscious of time, really summarize, what what the panel says, but it some of the discussions we’ve had are just really the return we we see as a carrier, in that risk control is is is the profitability that can come, as as Meeve said, in terms of loss prevention. The the but also the the marketing, the brand value that come out, being a specialist, being that value added provider to that insured, being, bring that trusted advisor, the term we’ve used of of having that having that trust and, having within insurance, which is a a very competitive open market industry, that that that tie will go to the runner in terms of marketing of I I I trust this company. They they are looking out for me. They know they know my class. They know my business. And that that there there’s there’s return and ROI on that of, I mean, we we all know that, keeping an insured is is is better than going to find in the next one. And so that that value is is strong, as well as, obviously, what what we’re doing as an industry of of keeping keeping people healthy, their their families, their employees, and, and really the the social benefits that we bring, with the technology that we’ve we produce in terms of, risk control. Amazing. Thank you so much. Chris, I’m gonna give you a minute and a half here. How does the Origami platform, of course, support, you know, monetizing, the ROI and and results? And then if you have any kind of wrap ups also, just another minute, if you don’t mind. Yeah. I would start. Obviously, when you think about the value of risk reduction, you wanna be able to actually demonstrate that value. Certainly, within a carrier, they’re gonna understand the value of reducing a a particular, you know, type of loss through a mitigation effort, through some sort of early intervention effort. With the insureds, what the platform supports, and I think part of the reason we’re seeing the trend of more and more carriers trying to get their customers in the system, is because they can demonstrate that against that customer’s data, not just against the broader book of business. Because to the customer, a claim that hasn’t happened doesn’t mean a lot. Right? Without some sort of broader trending to understand, hey. My experience is is actually improving through time. So I think that’s really the key. It’s it’s that building that collaboration and trust, between the carrier and the insured in a single platform and giving them that view. And I would say, you know, overall from from our perspective, it’s really exciting. You know, obviously, our our background is in risk management. That’s where we started. It’s really exciting to see that that sort of the trend that’s emerging where people really are thinking about how do we how do we work together to reduce the the overall risk and to see the carriers come to the table. Amazing. Thank you so much. Okay. So we are a little bit out of time here for the q and a, but I did want everyone to get a chance to see, grab Deloitte’s report that Mahmeet was involved in. You can find this QR code here with your phone. Hopefully, it’s something we can send out when we send the webinar out to everybody. So grab that, but if you wanna learn more about Origami, about Predict and Prevent services, connecting with their team directly after the session, it’s great. Go to the origami website. And on behalf of business insurance, thank you again to our participants who joined us here and, of course, our panelists. Thank you so much everybody for being here and being a part of it. This was super productive webinar. Thank you. Thank you. Thanks for the opportunity.