Intelligent AI is one of several start-ups that have been supported through the Lloyd’s Lab who are utilising AI to solve these traditionally hard to abate industry challenges.
Lloyd’s and the global (re)insurance industry have a unique role to play, providing innovative products and services to manage and protect against a rapidly changing risk landscape. This includes using new technologies to help solve existing industry challenges.
One of the most significant challenges in property underwriting is determining accurate reinstatement costs. Industry data indicates that 80% of properties are underinsured by approximately 50%, with some properties being underinsured by as much as 250%. This widespread underinsurance poses a risk to both insurers and policyholders, leading to potential substantial financial losses in the event of claims.
Intelligent AI sought to provide a solution to this challenge through the application of artificial intelligence and advanced data analytics. The industry is starting to benefit from AI-driven solutions through significant improvements in claims processing, to compliance risk reduction – Intelligent AI’s Rebuild Cost Platform once launched, would be part of this swathe of cutting-edge solutions providing firsts for the industry.
With the support of the Lloyd's Lab and mentorship from 10 industry leading insurers and brokers, including; QBE, Aon, Gallagher and Zurich Insurance, Intelligent AI embarked on the development of their platform. The collaboration provided invaluable insights into the specific needs and pain points of the industry, ensuring that the platform would be both practical and highly relevant.
The development phase involved rigorous testing and validation of the AI models, extensive data collection, and close collaboration with industry experts. The platform integrates advanced algorithms with a vast dataset of property information, historical claims insight, and real-time market trends.
This integration enabled the platform to deliver precise rebuild cost estimates in a fraction of the time and at a significantly lower cost, helping insurers to accurately price policies and manage risks more effectively.
In March 2024, after nearly a year of development and testing, Intelligent AI successfully launched the Intelligent Rebuild Cost Platform. This platform aimed to leverage AI and data analytics to provide accurate and real-time rebuild cost estimates for properties, addressing a critical challenge in the insurance industry – essentially mitigating the risks associated with underinsurance.
- The integration of real-time data ensured that the estimates reflected current market conditions, increasing reliability.
- Enhanced accuracy in rebuild cost estimates allowed insurers to better assess and manage their portfolios' exposure risk.
- Insurers can streamline their underwriting processes, leading to faster policy issuance and improved customer satisfaction.
The industry has responded positively to the Intelligent Rebuild Cost Platform, highlighting its potential to transform property underwriting.
The Lloyd’s Lab Alumni signed a multi-million UK reseller agreement with a market-leading partner, expanding its reach and ensuring widespread adoption of the platform. Additionally, they have secured investment, which will be used to roll out the platform globally and to drive towards a series A investment round.