LexisNexis Risk Solutions Enhances Game-Changing Home Insurance AI Solution Flyreel to Expedite and Improve the Home Underwriting Process

Rhea-AI Summary

On March 9, 2023, LexisNexis Risk Solutions announced enhancements to its AI-driven property inspection tool, Flyreel. These upgrades aim to improve underwriting efficiency for U.S. property insurers facing rising loss ratios and workforce challenges. The no-code solution allows insurers to customize risk assessments based on their underwriting preferences, expediting the identification of critical property issues such as damage and safety concerns. Amid increasing home claim severity, which rose by 37% year-over-year, these enhancements are designed to equip insurers to better navigate market challenges, thereby improving operational effectiveness.

Positive

• Enhanced Flyreel AI tool improves underwriting efficiency.
• Customizable risk assessments align with insurer needs.
• Expedited identification of critical property issues.

Negative

• Loss ratios for Q3 2022 were at 98%, indicating financial stress in the industry.
• Home claim severity increased by 37% year-over-year.

U.S. property insurers can now more easily capture, prioritize and act on relevant property risks to help significantly improve underwriting efficiency

ATLANTA, March 9, 2023 /PRNewswire/ -- To address rising loss ratios and workforce challenges, LexisNexis® Risk Solutions has announced enhancements to LexisNexis® Flyreel®, the insurance data and analytics leader's recent acquisition that uses artificial intelligence (AI) and machine learning to enable self-service property inspections. With these enhancements, U.S. insurers can now configure the Flyreel AI solution with their own underwriting preferences. The AI solution is then able to help expedite the underwriting process by capturing and evaluating completed property surveys and inspections, using proprietary computer vision technology to highlight key risks in alignment with each carrier's unique risk appetite.

With this no-code enhancement, insurers can prioritize risks based on their needs and preferences while reducing the amount of time it takes to act on the risks they deem most important – risks including but not limited to exterior and interior condition issues, roof damage, recalled electrical systems and water damage. Insurers can then set parameters based on the Flyreel solution's self-service inspection capabilities that align with their underwriting preferences, structuring their workflows accordingly. LexisNexis Flyreel also helps offer its customers even more consumable information by delivering an actionable report based on those identified needs – whether customers use a dashboard or system-to-system integration.

"Over the last several months, we have been hard at work enhancing the Flyreel solution to deliver more meaningful, configurable insights for insurers as we look to offer the most current and comprehensive understanding of property in the market," said George Hosfield, senior director, home insurance, LexisNexis Risk Solutions. "The home insurance market has been using data for a long time, but the question we continue to ask ourselves is how carriers can use the data and advanced analytics in the most optimal manner – or focus on what is most critical to their businesses so that they can be better equipped to meet new and emerging underwriting challenges. And that's what we're really solving for with this enhancement to Flyreel."

According to a report by S&P Globalⁱ, loss ratios for Q3 2022 were at 98%, exceeding that of the previous four years, fueled largely by increasing home claim severity, which is up by 37% year-over-yearⁱⁱ.

"We recognize that every day our customers are faced with new market challenges such as rising inflation, labor availability and growing expectations from consumers and employees around digital experiences," said Cole Winans, vice president, home insurance, and original founder of Flyreel. "The ability to use technology as a force multiplier to help capture and act on ground truth data at scale, in alignment with each insurer's business needs, speaks directly to these challenges. We're fully committed to equipping each of our home insurance customers with more advanced solutions, so that they can better serve the market, and we remain hard at work on additional capabilities."

About LexisNexis Risk Solutions
LexisNexis® Risk Solutions harnesses the power of data and advanced analytics to provide insights that help businesses and governmental entities reduce risk and improve decisions to benefit people around the globe. We provide data and technology solutions for a wide range of industries including insurance, financial services, healthcare and government. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX), a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit www.risk.lexisnexis.com and www.relx.com.

LexisNexis Risk Solutions Contacts:
Chas Strong
Director, Communications
LexisNexis Risk Solutions
+1.706.714.7083
Charles.Strong@lexisnexisrisk.com

Donna Armstrong
Brodeur Partners for LexisNexis Risk Solutions
Phone: +1.646.746.5611
darmstrong@brodeur.com

ⁱ S&P Market Intelligence, Dec. 2022: Progressive feels impact of Ian on homeowners business in Q3 | S&P Global Market Intelligence (spglobal.com)

ⁱⁱ S&P Market Intelligence, Dec. 2022: Progressive feels impact of Ian on homeowners business in Q3 | S&P Global Market Intelligence (spglobal.com)

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SOURCE LexisNexis Risk Solutions

FAQ

What enhancements were made to Flyreel by LexisNexis on March 9, 2023?

LexisNexis enhanced Flyreel by allowing U.S. insurers to customize risk assessments and expedite the underwriting process.

How does Flyreel improve the underwriting process for U.S. insurers?

Flyreel improves the underwriting process by enabling self-service property inspections and prioritizing risks based on insurer preferences.

What challenges are U.S. property insurers facing that prompted LexisNexis to enhance Flyreel?

U.S. property insurers are facing rising loss ratios and labor challenges, along with increasing home claim severity.

What were the loss ratios reported for Q3 2022?

Loss ratios for Q3 2022 were reported at 98%, marking a rise over the previous four years.

What is the significance of the 37% year-over-year increase in home claim severity?

The 37% increase in home claim severity highlights the growing financial pressures on insurers, impacting their profitability and underwriting practices.