The quality of primary insurer underwriting data could beaffecting their reinsurance purchasing costs more than theyrealize, according to a survey by Ernst & Young, which foundthat almost all reinsurers levy a surcharge to compensate forunreliable cedant data, while most would cut premiums if qualitycould be assured.
Quality of critical data can include the number and location ofbuildings owned by an organization or the number of retail outlets,said Trish Conway, an actuarial advisor in the Insurance andActuarial Advisory Services practice of Ernst & Young, in thefirm's New York office.
Missing data was brought to the forefront after HurricaneKatrina, she pointed out, when losses projected at $20-to-$40billion in actuality were $60 billion.
Continue Reading for Free
Register and gain access to:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
