The process of evaluating risks to determine whether to insure and at what premium.
- Automated underwriting with predictive models (e.g., assess risk from applications in real time).
- Natural language processing (NLP) for unstructured documents (medical records, claims notes).
- Image recognition for property/vehicle damage assessment.
- Risk scoring using multiple data sources (IoT, telematics, credit data).
Improves efficiency, consistency, and profitability in policy issuance.