Predictive analytics to aid Asia insurers

Shocking tragedies like the disappearance of Malaysian Airlines MH370 and the massive explosions in Tianjin, China could be better assessed thanks to risk management tools being introduced to Asia.

Russell Group, a leading risk management software and services company, offers technology that gives underwriters in Asia the critical ability to factor in realistic, probabilistic - and even unexpected - events when pricing insurance policies.

Through its ALPS suite of products, Russell Group delivers better scenario modelling to give more accurate pricing in underwriting risk management across the specialty insurance classes, including aviation and casualty.

Suki Basi, Russell Group Founder and Managing Director, says for insurance and reinsurance clients in Asia operating across the specialty classes, Russell Group’s ALPS range is an essential tool.

Basi explains: ‘Risk and loss exposures are on the rise for many underwriters. Recent events have thrown aerospace underwriters into the spotlight, but this insurance class is prone, like most of the specialty classes, to political, economic, cyber, credit and business interruption risks too.’

According to Basi, ALPS allows underwriters throughout Asia to not only generate authentic risk assessments but also deliver better use of their capital and boost portfolio return on equity. ‘We are delighted to offer ALPS to help clients in Asia gain deeper insights into risk exposure and, ultimately, to drive their businesses forward,’ he adds.

Core to the unique ALPS approach, which also embraces marine hull and liability, energy, space and speciality property classes, is the simulation of an ‘event set’ that can then be used for pricing and other risk management analysis.

The same event set could be used to inform reserving, business planning, forecasting, and to produce accurate underwriting risk distributions for capital modelling. Such a simulated event set based on past losses and current exposure permits a greater range of loss scenarios to be explored than does a purely historical analysis.

Russell Group is taking part in the Singapore International Reinsurance Conference, November 2-4 2015.

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Russell Group is a leading risk management software and services company fast expanding its operations across Asia. Through its ALPS suite of products, Russell Group provides a truly integrated framework for insurance and reinsurance clients operating across the specialty classes.

With an underwriting risk framework that delivers a complete understanding of underwriting exposure, Russell Group helps clients generate clearer risk insights and assessments, robust capital utilisation and improved portfolio return on equity.

As a pioneering UK-based data analytics company, Russell Group offers insurers and reinsurers across Asia proprietary technology that factors in the realistic, probabilistic and unexpected for better scenario modelling to give more accurate pricing in underwriting risk management.

If you would like to learn more about Russell Group’s ALPS solutions, please contact rbrown@russell.co.uk