Case Studies LexisNexis® Home Inspection Index boosts inspection return-on-investment

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	LexisNexis® Home Inspection Index boosts inspection return-on-investment

LexisNexis® Home Inspection Index boosts inspection return-on-investment

Technology Category	Analytics & Modeling - Predictive Analytics Application Infrastructure & Middleware - Data Exchange & Integration
Applicable Functions	Business Operation Quality Assurance
Use Cases	Predictive Maintenance Remote Asset Management
Services	Data Science Services System Integration
Challenge	Like many carriers, this company struggled with managing inspection resources for the greatest return on investment. It lacked the ability to specifically identify those properties most in need of inspection at the time of policy renewal. Instead, this carrier conducted selective inspections of properties in high hazard areas; a costly and time intensive method with little to no perceivable impact on actionable rates. As losses continued to mount, alarms were raised across the enterprise. The call went out for a cost-effective solution that would cause minimal disruption to the current process while significantly increasing actionable discovery rates, thereby reducing losses. Read More
About Customer	This case study is regarding a homeowners insurance carrier that has been a leader in bringing the digital experience to the homeowners insurance space, providing on-line quotes, services and purchase capabilities. This company acquires and serves customers through both an agency channel and its direct-to-consumer website, using a streamlined process accompanied by a proprietary mapping system. The business is focused on aggressively managing loss ratios in its current portfolio while increasing the number of policies in force (PIF) through multi-state expansion. Read More
Solution	LexisNexis® Home Inspection Index is a predictive model solution that leverages data from multiple proprietary and public record datasets and returns an index value ranging from 1 to 5 for each property (1 being least likely to be in need of inspection, 5 being most likely to be in need of inspection), accompanied by model indicators and attributes. Home Inspection Index fits seamlessly into a carrier’s existing workflow and is accessible from the LexisNexis platform through a system-to-system connection. With Home Inspection Index, this carrier could better identify the most high-risk properties and target inspection resources accordingly, saving time and money while reducing losses from undiscovered risks. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Predictive Analytics

Application Infrastructure & Middleware - Data Exchange & Integration

Applicable Functions

Business Operation

Quality Assurance

Use Cases

Predictive Maintenance

Remote Asset Management

Services

Data Science Services

System Integration

Challenge

Like many carriers, this company struggled with managing inspection resources for the greatest return on investment. It lacked the ability to specifically identify those properties most in need of inspection at the time of policy renewal. Instead, this carrier conducted selective inspections of properties in high hazard areas; a costly and time intensive method with little to no perceivable impact on actionable rates. As losses continued to mount, alarms were raised across the enterprise. The call went out for a cost-effective solution that would cause minimal disruption to the current process while significantly increasing actionable discovery rates, thereby reducing losses.

About Customer

This case study is regarding a homeowners insurance carrier that has been a leader in bringing the digital experience to the homeowners insurance space, providing on-line quotes, services and purchase capabilities. This company acquires and serves customers through both an agency channel and its direct-to-consumer website, using a streamlined process accompanied by a proprietary mapping system. The business is focused on aggressively managing loss ratios in its current portfolio while increasing the number of policies in force (PIF) through multi-state expansion.

Solution

LexisNexis® Home Inspection Index is a predictive model solution that leverages data from multiple proprietary and public record datasets and returns an index value ranging from 1 to 5 for each property (1 being least likely to be in need of inspection, 5 being most likely to be in need of inspection), accompanied by model indicators and attributes. Home Inspection Index fits seamlessly into a carrier’s existing workflow and is accessible from the LexisNexis platform through a system-to-system connection. With Home Inspection Index, this carrier could better identify the most high-risk properties and target inspection resources accordingly, saving time and money while reducing losses from undiscovered risks.

Impact #1	A pilot was conducted in two states. Of the properties evaluated, the company chose to perform inspections on 60% of those properties ranked as a 4 or a 5.
Impact #2	The rate of actionable discovery as a result of the inspections on those properties was 50%, a significant improvement over the previous rate of 10-20%.
Impact #3	Had those 'high-risk' properties not been identified and appropriate action not been taken, loss ratios would have been severely impacted.

Impact #1

A pilot was conducted in two states. Of the properties evaluated, the company chose to perform inspections on 60% of those properties ranked as a 4 or a 5.

Impact #2

The rate of actionable discovery as a result of the inspections on those properties was 50%, a significant improvement over the previous rate of 10-20%.

Impact #3

Had those 'high-risk' properties not been identified and appropriate action not been taken, loss ratios would have been severely impacted.

Benefit #1	The rate of actionable discovery improved from 10-20% to 50%.
Benefit #2	The company reduced the number of inspections by 40%.

Benefit #1

The rate of actionable discovery improved from 10-20% to 50%.

Benefit #2

The company reduced the number of inspections by 40%.

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Overview

LexisNexis® Home Inspection Index boosts inspection return-on-investment

Operational Impact

Quantitative Benefit