A hard reinsurance market, though challenging, brings forth a unique opportunity for innovation and growth. Amidst the largest capital squeeze in reinsurance since 2008, the market faces reduced capacity, intensifying the need for fast, responsive, and precise pricing strategies as pivotal drivers of growth. Solutions such as Hyperexponential‘s hx renew are attempting to redefine this space, enabling effective pricing strategies and take ownership of the market.
Traditional pricing solutions often hinder the seamless monitoring of rate changes across portfolios, leading to substantial time losses and outdated information reliance. Many reinsurers dealing with these legacy offerings are stuck relying on months-old information, unable to make essential business decisions based on real-time data.
This is where products such as hx Renew can make a serious tangible different for firms in regard to pricing.
Its automated dashboards offer real-time monitoring, empowering reinsurers with immediate technical and achieved price insights on individual and portfolio levels. This streamlined approach, facilitated by API integrations with MI tooling, fosters effective risk selection and enhanced portfolio analysis.
But the advantages don’t stop there. The ability to swiftly assess portfolio impacts due to model updates or assumption changes is paramount for informed decision-making. However, legacy tools often hinder batch rating, leaving reinsurers unaware of potential risks and opportunities within their portfolios.
hx Renew revolutionises this landscape by facilitating agile collaboration between actuaries and underwriters. Its web-based SaaS platform allows rapid model development, ‘what-if’ analyses, and automated regression testing, empowering insightful decision-making.
The platform streamlines the process of refining models, saving significant time otherwise spent on correcting technical premiums. This agile framework enables quick algorithm and rate changes, ensuring compliance with regulatory standards without additional IT or vendor costs. Testimonials from industry leaders highlight the platform’s efficiency in implementing pricing models, enabling rapid adjustments and enhancing data credibility.
Another traditional pitfall for legacy pricing systems is reporting on data. Historically, it involves manual, inconsistent processes that hinder comprehensive portfolio analysis.
hx Renew’s automatic database generation and real-time APIs empower easy access to portfolio-level data, facilitating rapid summarisation, benchmarking, and rate-change monitoring. The platform’s data enrichment capabilities through API connections and web scraping eliminate data rekeying, enriching future pricing strategies.
Efficient collaboration among actuaries, underwriters, and technology is pivotal for rapid quote turnaround, especially during renewal periods. hx Renew’s data ingestion capabilities significantly reduce time spent on manual tasks, enabling instant access to relevant data for pricing. Whether integrating Nat Cat data via APIs or automating pricing models from PAS systems, hx Renew minimises re-keying efforts, empowering professionals to focus on analysis and risk binding.
As the reinsurance market navigates this period of digital transformation, hx Renew and other innovative solutions in the space are acting as trailblazers, moving the traditionally cumbersome sector into the modern era.
Read the full blog from Hyperexponential here.
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