Risk-Based Pricing

Insurance is priced following the principle of fairness.

Today: Insurance policies are priced based on extensive evidence collection and analysis. Accurately measuring and pricing risk allows insurers to provide accessible, affordable products that will be available to customers in times of need.

Tomorrow: Insurers are not sitting still. Working with regulators, technologists, and academics, the industry continues to refine underwriting models using advanced analytics and artificial intelligence to improve predictive models and ensure insurance policies closely reflect customer behavior and are priced fairly and accurately.

Aspirational: Insurers are on a constant mission to make the cost of insurance more reflective of individual risk and responsibility. This is a commitment that is also safeguarded by robust market competition protecting consumers from unfair pricing.