London, UK (12 August, 2024) Leading global specialist insurer, Hiscox has now gone live with the London insurance market’s first lead underwriting model enhanced by generative AI* – providing sabotage and terrorism insurance quotes to customers faster and more efficiently than ever before.
Initially developed as a proof of concept in December 2023 in collaboration with Google Cloud, the new underwriting model enables Hiscox’s sabotage and terrorism line of business to significantly reduce the time taken from the submission of a risk through to the quote stage.
By combining Hiscox AI Laboratories (Hailo**) with Google Cloud’s generative AI, Hiscox now has the ability to remove manual elements of the underwriting process. Risks that are in scope are assessed using Google Cloud’s Gemini large language model, and the process generates an email for the broker with pricing and other data already completed, ready for underwriter review. As a result, Hiscox can provide a broker with an insurance quote in a matter of minutes.
The new underwriting model is available to all brokers, however the first risk was written with insurance broker WTW. Hiscox and Google Cloud will continue to explore additional capabilities as well as potential applications in other lines of business.
Commenting on the industry first, Kate Markham, Hiscox London Market CEO, said: “We were really excited by the potential shown by the proof of concept, so to see it now making a tangible impact on our business – starting with sabotage and terrorism – is fantastic. The efficiency delivered is testament to the outstanding collaboration between Hiscox and Google Cloud. It proves that by bringing teams together and harnessing technology, we can deliver tangible benefits for customers, while freeing up our underwriters from manual tasks and allowing them to focus on more complex risks where human expertise is critical.”
Graham Drury, Head of Financial Services Industry UK, Google Cloud, said: “Through this collaboration we have proven the power of generative AI in transforming complex insurance underwriting processes. We continue to work closely with Hiscox to evolve and refine the augmented underwriting model for lead submissions as we look to deliver this same value across other lines of insurance.”
Jo Holliday, Global Head of Crisis Management, at WTW, said: “WTW has long recognised the enhanced use of digitisation as critical to the future of the insurance market. By harnessing AI to help streamline processes and deliver much quicker turnaround times from risk submission to quote, we are taking a step forward in the evolution of the digital marketplace, which is great news for our clients.”
ENDS
For further information please contact:
Hiscox
Carmel McCarthy +44 (0)7769 280903
Notes to editors
*The generative AI-enhanced lead underwriting model will initially focus on the renewal of existing sabotage and terrorism risks from the US and Canada, and will exclude the metro areas of New York and Chicago.
**In 2021, Hiscox London Market developed Hiscox AI Laboratories (Hailo), its first proprietary AI tool.
About The Hiscox Group
Hiscox is a global specialist insurer, headquartered in Bermuda and listed on the London Stock Exchange (LSE:HSX). Our ambition is to be a respected specialist insurer with a diverse portfolio by product and geography. We believe that building balance between catastrophe-exposed business and less volatile local specialty business gives us opportunities for profitable growth throughout the insurance cycle.
The Hiscox Group employs over 3,000 people in 14 countries, and has customers worldwide. Through the retail businesses in the UK, Europe, Asia and the USA, we offer a range of specialist insurance products in commercial and personal lines. Internationally traded, bigger ticket business and reinsurance is underwritten through Hiscox London Market and Hiscox Re & ILS.
Our values define our business, with a focus on people, courage, ownership and integrity. We pride ourselves on being true to our word and our award-winning claims service is testament to that. For more information, visit www.hiscoxgroup.com.
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