Munich Re Life US and Paperless Solutions Group Announce Risk Assessment Solution that Transforms Life Insurance Underwriting

State-of-the-art SaaS solution uses cutting-edge digital systems to deliver faster and more precise mortality risk assessment to bring life insurance to more people

Munich Re Life US (Munich Re) today announced a new combined risk assessment and e-application solution with insurtech leader Paperless Solutions Group (PSG), an MIB business, that allows life insurance carriers to underwrite new policies faster and with greater accuracy. The solution combines the risk assessment and instant decisioning power of Munich Re’s alitheia with the seamless application and point-of-sale process of PSG’s eValuate PLUS to deliver straight-through processing (STP) rates that more than double the industry average and provide an exceptional customer experience for life insurance policyholders.

According to Munich Re’s 2022 Accelerated Underwriting Market Report, which summarizes insights about accelerated underwriting programs from more than 30 U.S. life insurance carriers, the industry average STP rate is 21%. Leveraging alitheia’s innovative technology and analytics, life insurers can achieve STP rates in the range of 40-to-50%, far surpassing industry norms – while providing their customers with a quick and easy online insurance application using eValuate PLUS. Cases that are ineligible for instant decisions via alitheia will still benefit from superior turnaround times and approval rates. alitheia integrates with Munich Re Automation Solution’s Underwriter Workbench, a software application within ALLFINANZ, to support data-assisted manual underwriting. Through this combined solution, over 80% of cases that are not eligible for instant decisions via alitheia are able to be manually approved within 48 hours without fluids through assisted underwriting.

"We are proud to have achieved industry topping STP rates while limiting mortality cost," said Brooke Tyson, 2nd VP of Operations, Munich Re Life US. "By integrating alitheia with leading technology from partners like PSG, we are enabling life insurance carriers and distributors to grow their business while bringing life insurance to more people. We will continue to leverage alitheia’s cutting-edge capabilities to transform the future of risk assessment."

The combined solution of alitheia and eValuate PLUS is highly adaptable to different products, distribution channels, and target markets. It brings the benefit from of alitheia’s best-in-class rules, machine learning models, and data provider integrations to produce instant decisions that enable life insurance carriers to underwrite new policies with more confidence and at greater speed and scale and streamline the life insurance purchasing journey.

“The combination of alitheia and PSG’s eValuate PLUS provides a powerful solution for life insurers looking to automate their underwriting and, at the same time, improve their customer and agent experiences,” said Jeff McCauley, President of PSG. “What we have created with Munich Re is a truly modern and interconnected process that has been tested by large agencies for validation and will drive life insurance sales through a seamless seller-buyer approach.”

Designed for its life insurance customers, this solution helps carriers:

• Make faster decisions. This integrated solution leverages the best technology from alitheia and eValuate PLUS, to help carriers achieve higher STP rates – ultimately helping carriers grow businesses by issuing more policies instantly.
• Modernize the consumer buying experience. It dramatically shortens the application process and ensures an easy buying experience for the consumer, making life insurance more accessible and comprehensive for more people.
• Accelerate with confidence given built-in access to reinsurance. Munich Re stands behind alitheia and automatically reinsures policyholders whose underwriting decisions were made using the system.
• Seamlessly integrate with current systems/fast deployment: alitheia is highly adaptable and integrates easily with carrier front and backend systems.

This transformative solution frees up resources, allowing life insurance carriers and distributors to focus efforts on cases of greater complexity. In partnership with Munich Re, life insurance carriers can help build a society where more people are insured with the confidence of an accelerated, reliable and precise risk assessment.

About Munich Re Life US

As one of the world’s leading life reinsurers, Munich Re Life US partners with insurance carriers to leverage smart and connected data, embrace new ideas and technologies, help carriers make confident decisions at speed and scale, and gain an exponential understanding of underlying risks. The company is well known in the industry as an innovation leader with extensive technical depth. Munich Re Life US’ optimized solutions and capital management expertise expand beyond market leading offerings in individual life reinsurance, group, individual disability and living benefits, to a global center for predictive analytics, automated underwriting, digital partnerships and standard-setting underwriting and medical capabilities. The company believes that the digital economy offers an unprecedented opportunity for the industry to rapidly advance risk assessment and help close the widening global underinsured gap.

Munich Re Life US, incorporated as Munich American Reassurance Company, is a subsidiary of Münchener Rückversicherungs- Gesellschaft Aktiengesellschaft in München (“Munich Re”). It has high ratings for financial strength from A.M. Best Company and Standards & Poors. Munich Re Life US serves clients throughout the United States from its two locations in New York and Atlanta.

About Munich Re

Munich Re is one of the world’s leading providers of reinsurance, primary insurance and insurance-related risk solutions. The group consists of the reinsurance and ERGO business segments, as well as the asset management company MEAG. Munich Re is globally active and operates in all lines of the insurance business. Since it was founded in 1880, Munich Re has been known for its unrivalled risk-related expertise and its sound financial position. It offers customers financial protection when faced with exceptional levels of damage – from the 1906 San Francisco earthquake through Hurricane Ian in 2022. Munich Re possesses outstanding innovative strength, which enables it to also provide coverage for extraordinary risks such as rocket launches, renewable energies or cyberattacks. The company is playing a key role in driving forward the digital transformation of the insurance industry, and in doing so has further expanded its ability to assess risks and the range of services that it offers. Its tailor-made solutions and close proximity to its customers make Munich Re one of the world’s most sought-after risk partners for businesses, institutions, and private individuals.

About Paperless Solutions Group (PSG)

PSG, an MIB business, is a leading provider of cloud-based software solutions for the life insurance and financial services industry. Our products and services provide unparalleled automation and integration for the insurance services industry. These innovative offerings conduct millions of transactions annually by enabling the presale, new business and underwriting, point of sale, and post-sale support. Paperless Solutions Group is a part of the MIB Digital Solutions portfolio. To learn more about PSG, please visit www.psginc.co

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