Results from Limra’s 2017 Insurance Barometer Study found that 70% of Americans who would consider purchasing life insurance are interested in doing so without taking a physical exam.
But how can insurers meet consumer demand for convenience and accurately assess applicant risk?
RGA's Dianne Schuetz suggests an answer in Best's Review: Use big data and do so responsibly. She describes the company's partnership with TransUnion, a global risk and information solutions provider and one of the largest credit bureaus in the United States, to study the predictive power of credit behavior data as it relates to life insurance risk.
See also: A Score for All Seasons: Big Data Bring Big Changes in Underwriting
These findings have been used to create TransUnion TrueRisk® Life, a credit-based insurance score designed specifically for life insurance and that uses select, predictive attributes of a consumer’s credit report. The next step in the evolution of risk assessment has arrived.
- For a deeper look at this topic, please see: The Predictive Nature of Credit Data for Mortality
Contact the RGA client services team to learn more about the predictive power of credit data in risk assessment.Copyright© A.M. Best Company, Inc. 2017. All Rights Reserved. Reprinted with Permission. www.ambest.com