Across the property and casualty (P&C) and life insurance markets, many have questioned how the pandemic and economic disruptions have affected consumers’ credit-based insurance scores and mortality risk scores, and whether we planned to make modifications to our models.
Credit-based insurance scoring is a powerful segmentation tool for rating and underwriting, both at new business and renewal. These scores remain stable and the performance of LexisNexis® Risk Solutions risk models are reliably consistent during the events we’ve seen March-July 2020 and in past economic downturns.
In short, we’re not seeing a substantial or fundamental shift in the average LexisNexis® AttractTM suite of models or the LexisNexis® Risk Classifier model used by the life industry. Credit-based insurance scores tend to be very stable over time, and that’s exactly what we’ve seen so far through this pandemic as well.