The property/casualty insurance industry depends on lots of data to develop products and price them, making the coverage of new risks a significant challenge for underwriters, a London specialist says.
Carriers try to address new risks, particularly those relating to technology, but they tend to be risk-adverse where there is little data to go on, according to Graeme Newman, marketing director at London-based CFC Underwriting. Executive SummaryIf insurance carriers and agents want to stay in business, they have to pay attention to how technology is changing the business they operate in and react to it appropriately, whether that be through online sales portals or policies that address technology risks, according to Graeme Newman, marketing director at London-based CFC Underwriting, who also observes that a data-dependent P/C industry tends to struggle with emerging risks for which there is no loss data to analyze.