In the recent years, the insurance industry has become increasingly digital as its dependence on technology and data continues to grow. Despite this situation, many insureds and insurers still use paper, particularly for claims. Claims experts are mostly the first to say how paperwork is time-consuming.
Chris Cheatham, a former claim insurance attorney based in Washington DC, is not new to sorting a large volume of papers. In his line of work, he represented insurance entities in cases involving large construction projects or the federal government.
One day during his normal routine, he realized the papers he was analyzing were always disorganized and it was costly to his companies. At the time he would hear other insurance experts turning to Excel spreadsheets or X-Acto knives while others were just redlining in a bid to find exclusions and compare policies. Even so, the task became increasingly labor intensive when it came to comparing insurance policies from many insurers.
In response to the situation, Cheatham launched Claimjet in 2012, which enabled users to collect electronic data, scan documents and upload them to the software for consultants, accountants, and lawyers who were involved in managing the claims. Later after two years, the company landed a job to work on a huge claim. Consequently, underwriters too began logging into the software. As its success grew, someone requested to undertake a policy review using the software. According to Cheatham, this situation led to the birth of what is now called RiskGenius.
RiskGenius prides itself on being the developer behind the RiskGenius Platforms, which uses algorithms and AI to organize the globe’s insurance policy information for commissioner offices, carriers, and brokers. Cheatham, the co-founder, and CEO of ClaimKit Inc. claims the company targets specialty brokers, underwriters and then regulators that work with them. The term specialty, in this case, means casualty carriers and commercial property, which make up the company’s main focus. However, ClaimKit has plans to expand its operations to all areas of insurance and other fields by boosting human effort instead of substituting it with technology
RiskGenius entered into its first industry partnership with QBE Ventures in October 2017. In fact, QBE North America was the first section to implement the RiskGenius Platform fully with plans to upload 125, 000 insurance policy documents this year (2018).
According to Bob James, QBE’s group head of transformation said that QBE North America finalized a proof-of-concept related to the RiskGenius Platform early in 2018. In turn, it experienced positive outcomes while using the company’s machine learning product in an attempt to compare policies as part of its product development process.
The RiskGenius Platform easily and quickly organizes, interprets and standardizes policy language using machine learning. Such standardization and organization aid brokers, regulators and underwriters in understanding the trends that are essential to complex coverages.
According to Cheatham, his mantra is freeing the forms. He added that his company may have to make additional forms available to more individuals in a bid to make them understand the language. To him, the more carriers and brokers can comprehend such stuff, the better.