Leading insurers have automated underwriting for small commercial lines by applying new data sources and advanced analytics, following the successful automation of personal lines. While few disclose underwriting automation, we see online quoting offered by InsurTechs like Next or CoverWallet and established brands including Allstate, Farmers Insurance and Chubb.

Yet, the landscape changes dramatically when underwriting activities move up to habitational and midsize property underwriting, with risks ranging from a small townhouse community to corporate entities with multiple offices and warehouses. Because commercial property risks are far less homogeneous, they require varied levels of underwriting expertise and risk engineering. For instance, an apartment building in a bustling city demands different insights and underwriting scrutiny than a manufacturing facility in a rural area.

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