Through this partnership, OutsideIQ will offer underwritingIQ to carriers, enriching risk information and providing actionable insights for improved underwriting, said Pranav Pasricha, CEO, Intellect SEEC - insurance business, Intellect Design Arena.
Intellect SEEC, the provider of insurance software firm from Intellect Design Arena (a Polaris Group company) on Monday announced an exclusive partnership with OutsideIQ, a global provider of advanced risk analytics solutions for the insurance market, through which it hopes to bring better risk analysis to insurance companies, said Pranav Pasricha, CEO, Intellect Seec - insurance business, Intellect Design Arena.
Through this partnership, OutsideIQ will offer underwritingIQ to carriers, enriching risk information and providing actionable insights for improved underwriting. UnderwritingIQ will also be integrated with Intellect SEEC's underwriting workstation, he said in an interview to CNBC-TV18.
The company is making significant investments into engineering. Going ahead, the firm will fund its investments from cash reserves and operating profits, Pasricha added.
Below is the verbatim transcript of the interview:
Anuj: If you could tell us what is this partnership all about and what kind of revenue potential does it have for the listed company?
A: Intellect Design is one of the world’s leading technology company focused on the financial services base. We have a very extensive set of products that cover banking, insurance, wealth management and other allied financial services. OutsideIQ is a leading edge risk analytics firm it is a relatively new firm which is based in Toronto, Canada. They have a very unique product that they have launched about a year back which does deep web search.
Basically the product has a potential to very significantly improve the quality of underwriting and claims management in the insurance industry. It also has some very fundamental applications in things like anti-money laundering and other areas such as credit worthiness assessment and the banking sector.
This is a partnership where we are going to embed our technology and our products together and we are going to be commercialising the joint offerings through out the world.
Ekta: How does a partnership with OutsideIQ change the current product offering that you have? What are the financial terms of this agreement if any?
A: On the financials, we have the earnings call on the 30th and we can talk about the financial implications. We do not usually report on deal by deal basis. In terms of what it does to the product basically we have an underwriting work station product for the insurance market and the introduction of this risk analytics space creates truly unique proposition. There is nothing similar in the financial technology space any where in the world.
This is a platform for example which with very limited risk inputs for example if you are doing an insurance policy with very limited information about the person or the company that you wish to underwrite will bring you a very pertinent or contextual risk information and therefore the ability of an underwriter to make much better underwriting decision.
The quality of pricing for example or the coverage conditions that an underwriter can put or on the claim side for example the ability of the claims manager to find fraudulent claims or in terms of credit risk or financial products, banking to be able to identify highly suspect transitions or transactions or new accounts all of these things become much richer.
In the traditional underwriting or credit space there has been a lot of uncertainty while the organisations were gone set of standard rules, the information it is all most like making decisions in the cloud of uncertainty. What this does is? This clears that cloud of uncertainty. We think that the improvement in terms of the bottom line results of our clients can be very significant for example there could be at least 5 percent bottom line impact on an insurer using a solution like this just because of the quality of underwriting becomes so much better.