X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Actionable data plays an essential role as policyholders choose the right amount of coverage to protect their homes in the event of a disaster. In today’s tumultuous housing market, current, reliable information is more invaluable than ever as property insurers work to alert policyholders to changing variables that could increase the likelihood that their properties are underinsured.

Certainly underinsurance is no new problem in the property insurance industry. In past years, insurers frequently encountered difficulties creating replacement-cost estimates that adequately addressed properties’ probabilistic risk. Only within the past decade have we been able to harness the power of enormous amounts of data containing construction rates and detailed structural information for millions of U.S. properties. Advances in analytical tools also enable us to drill down to specific zip codes so we can view local trends for common building materials and labor necessary to rebuild a structure. Thanks to these tools, we are now able to create a component-based estimate for a building that is based on costs being paid for actual claims in the area and supported by detailed construction market research.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

 

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.