Reducing Risk by Identifying Exclusions

As property & casualty insurance carriers increasingly integrate exclusions into their policies to maintain reasonable premiums in a challenging market and mitigate high loss ratios, the importance of identifying these exclusions cannot be overstated. Clients may believe they are covered, only to discover otherwise when filing a claim, potentially resulting in significant consequences. However, for insurance producers, meticulously reviewing lengthy policies to uncover newly added exclusions is a time-consuming endeavor, often involving a careful review of 100-150 pages. Yet, it’s imperative to identify exclusions along with exclusionary wording or restrictions to protect clients and client relationships.

Recognizing this pressing need, Exdion, renowned for its cutting-edge AI automation systems, particularly in policy assessment, has observed the growing challenge agencies face in pinpointing all excluded coverages or clauses in current-term policies. Overlooking even a single exclusion can lead to disastrous outcomes for clients, agencies, and errors and omissions (E & O) carriers.

Consequently, Exdion has developed an add-on service that checks for exclusions. This innovative tool enables agencies to confidently identify high-risk changes that might otherwise be overlooked. The system employs advanced algorithms to scan for words indicative of exclusionary language and provides detailed reports pinpointing the precise location of such language, complete with page numbers and X-ray links to the exact place on the pages. Agency staff can promptly assess these sections to ascertain any potential issues.

Moreover, beyond mitigating potential risks, identifying exclusions provides opportunities for presenting additional coverage options, thereby increasing agency revenue and providing clients with added peace of mind. In instances where exclusionary language is detected, this tool presents a range of potential solutions and alternatives for remedial action.

With the help of this Exclusionary Language tool, producers can allocate their time more efficiently, no longer needing to dedicate extensive resources to reviewing policy language for potential pitfalls or opportunities. This enables them to focus on more productive tasks, safe in the knowledge that the agency has a safety net in place to prevent unpleasant surprises in the event of an excluded claim. Ultimately, this fosters stronger and more secure client relationships.

Exdion’s Exclusionary Language module is offered as an add-on service alongside its AI-driven Policy Checking service, providing comprehensive support for agencies seeking to enhance their risk management capabilities.

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