ISO has launched the ISO Advanced Rating Toolkit for personal auto, a bundled offering of ISO's pricing refinement tools that includes the ISO Risk Analyzer personal auto suite of predictive modeling tools and the ISO Personal Vehicle Manual.

The collection of rating tools within the ISO Advanced Rating Toolkit enables insurers to perform in-depth analyses within their books of business. ISO is a member of the Verisk Insurance Solutions group at Verisk Analytics.

“We've integrated ISO's best-in-class analytic and rating tools in response to the industry's call for a more complete rating solution that incorporates advanced analytics,” says Kevin Thompson, president of ISO insurance programs and analytic services. “Insurers who currently use the rules and factors available in the ISO Personal Vehicle Manual to develop and enhance their rating programs can now take their pricing refinement efforts to new levels with the predictive capabilities of the ISO Advanced Rating Toolkit.”

The ISO Risk Analyzer Personal Auto suite is composed of three modules. The environmental module uses predictive modeling based on location-specific data and examines environmental indicators that can affect personal auto risks to predict losses more accurately at a highly refined level of geography.

The personal auto vehicle module for physical damage uses vehicle characteristics to predict collision and comprehensive losses at a highly refined level.

The newest module, driver history, is a pricing segmentation tool that helps insurers assess how driver history and driver characteristics affect rating factors.

The ISO Risk Analyzer modules add value to the rating tools within the ISO Personal Vehicle Manual, including the Personal Auto Class Plan, which will be enhanced through filings to be made this year in most states. Other tools include Liability and PIP/Medical Payments Symbols, increased limits and deductible factors, miscellaneous rating factors, and filed loss costs.

The ISO Advanced Rating Toolkit also offers insurers flexibility. Depending on their needs, insurers can use the output from the modules out of the box or as independent variables in their own predictive models.

“Adaptability is one of the key features of the tool set,” says David Cummings, senior vice president, personal lines and analytics, ISO Insurance Programs and Analytic Services. “With access to this comprehensive suite of ISO's sophisticated pricing refinement tools, insurers no longer have to piece together their rating plans. They can create tailor-made rating programs without sacrificing speed to market—a significant advantage in today's competitive environment.”

ISO is currently developing other modules that will be added to the ISO Advanced Rating Toolkit. Insurers who take advantage of the ISO Advanced Rating Toolkit will gain immediate access to future modules under development when they become available.

Special Reports /

ISO Offers Personal Auto Rating Solution

Related Stories

Recommended For You