Dun & Bradstreet has collaborated with AI-driven marine insurance intelligence provider Concirrus for a new solution that focuses on cargo aggregation and visibility challenges for the sector’s re/insurers.
Both companies noted recent events, including the COVID-19 pandemic, the Suez Canal obstruction, catastrophes like those in Tianjin and Beirut, conflicts, sanctions, and severe weather, that highlight the importance of accurately assessing the risk profiles of ships and their cargoes.
However, the marine re/insurance industry has struggled to obtain an accurate grasp of the cargo on board ships or within ports, owing to the challenges of data availability, timeliness, and volume management, they suggest.
Addressing these hurdles, the companies have jointly developed a new solution that merges data resources with artificial intelligence (AI) to offer insurers almost instantaneous insights into their portfolios. This includes information on cargo accumulation and values on each vessel, the entities involved in shipments, and cargo stored in ports and warehouses.
Re/insurers will gain access to a dataset courtesy of Dun & Bradstreet, processed by the Concirrus Quest platform. The partnership aims to convert billions of records detailing cargo movements into actionable insights regarding insurers’ total exposure, which can fluctuate daily.
The advancement also promises to enhance risk modeling, improve understanding of shipments, and offer precise insights into portfolio accumulations.
Additionally, the solution could help the relationship between cedents and reinsurers by delivering an accurate portrayal of portfolio exposures at both levels, thus facilitating more effective capital deployment and paving the way for novel reinsurance models.
James Harrison, global head of insurance at Dun & Bradstreet, commented on the industry’s digital and data-driven shift, particularly in light of recent geopolitical events.
“D&B’s data set combined with Concirrus’ cutting-edge AI technology will bring unparalleled new insights in the form of a risk tool to the global marine insurance market,” Harrison said.
Andy Yeoman, CEO at Concirrus, also emphasized the long-standing need for such a solution in the market.
“By improving underwriting accuracy, and by monitoring and managing aggregations, insurers can accurately manage their capital and offer a superior solution to clients,” Yeoman said.
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