LexisNexis Risk Solutions announces the migration of itsinsurance solutions to the LexisNexis big data processing platformknown as HPCC Systems. LexisNexis is leveraging the platform tohelp insurers assign premium more accurately, better understandtheir customers and risk throughout the policy lifecycle, and drivea more profitable book of business.

Among the first solutions to migrate to HPCC Systems' platformis C.L.U.E. Auto, the industrystandard loss underwriting database for the auto insurance market,representing 99.6 percent industry contribution. C.L.U.E. Auto withHPCC Systems finds claims on more than 64 percent of all inquiriesand has a historical consumer dispute rate of less than 0.04percent.

A recent study was conducted by LexisNexis on a group ofinsurance applicants of which 20 percent had been evaluated andreported as having no prior claims history and would not require aC.L.U.E. Auto report. LexisNexis ran these “clean” applicantsthrough C.L.U.E. Auto for the first time, and found 49 percent hadprior claims history. The lifetime premium leakage associated withthose missed claims totals over $1 million.

“In today's competitive insurance environment, carriers continueto see increases in unreported claims that can represent millionsof premium dollars and places additional risk on their book,” saidBill Madison, senior vice president and general manager, insurance,LexisNexis. “We are proud of the industry collaboration that hasoccurred with C.L.U.E. Auto and the ongoing investment ininnovation and infrastructure to benefit our customers towardachieving 24/7 processing. This insight gives us a more completeview of the market and creates new and meaningful information forour customers to better serve their customers.”

C.L.U.E. Auto historically returned an average $108 inchargeable premium for each inquiry made. After the migrationto the HPCC Systems platform, C.L.U.E. Auto identifies eightpercent more chargeable accidents, increasing the average premiumsurcharge from $108 to $117 per inquiry. For the average-sizedcarrier, this results in an additional $3 million in premium overthe typical policy lifetime.

C.L.U.E. Auto, which commemorates 25 years of insuranceclaims history for the auto insurance industry in 2012, uses LexIDproprietary linking technology and access to more than 40 billionpublic and proprietary records from more than 10,000sources. LexID enables customers to identify and organizeinformation quickly, and link records together.

With its insurance solutions and LexID on the HPCC Systemsplatform, LexisNexis delivers:

• actionable insights at the household level in addition toindividual level,
• more subject-related claims,
• faster, more reliable claims history
• fraud detection related to complex schemes and collusion,and
• reliable business continuity for insurers with full datarecovery processing.

HPCC Systems is an open source, enterprise-proven Big Dataanalytics platform. HPCC Systems grew out of the need forLexisNexis Risk Solutions to manage, sort, link, join, and analyzebillions of records in hours rather than months, with the abilityto run queries against these records with sub-second response time.HPCC Systems is a data intensive supercomputing platform that hasevolved for more than a decade, supporting enterprise customers whoneed to process large volumes of data in critical 24/7environments.