Insurers are increasingly putting a strong focus on digitalisation, but nevertheless there are still many non-automated and non-digital underwriting processes, especially in Commercial and Specialty Lines business. The reasons: Data are often neither structured nor accessible. Core processes, including in underwriting, are still often organised in a cumbersome and disconnected manner. Legacy systems are an obstacle when it comes to the introduction of new insurance products or using new distribution channels like embedded insurance as they are usually quite outdated and not flexible enough. And even large insurers struggle with the required technical capabilities or sufficient IT budget to finance such necessary digitalisation and automation of processes. 

However, there is significant cost-cutting potential to be realised – which means a lot with regards  to competitivity. According to Accenture, automating underwriting processes could allow for efficiency gains of up to US$ 160 billion by 2027. The requirements: Streamlining the underwriting process, reducing the time and resources needed to underwrite a policy, and increasing profitability through more accurate policy pricing and advanced risk assessment.

With the new generative AI-driven CoPilot function integrated into the REALYTIX ZERO underwriting platform, Munich Re is at the forefront of underwriting automation development and the only ones using generative AI to build or adapt insurance and reinsurance products. 

With a global team of more than 30 professionals, Florian Niklas works passionately on the continuous development of Munich Re’s cloud-based, automated underwriting platform, which has now been successfully implemented at 50 customers worldwide.

What does that mean in practice? The CoPilot is a Gen AI-driven assistive function which supports designers and developers in implementing or adapting insurance products and smoothly guides them through every single step in the product implementation process. This is true even for sophisticated products that contain complex functionalities. The automation of the process offers support to improve quality, accuracy and consistency of product design decisions taken.

The CoPilot was developed to support product designers and answer their requests along the implementation process in a chat function similar to that of ChatGPT. It provides suggestions which can be directly transferred into the REALYTIX ZERO product studio. The users do not have to bring any special IT or coding knowledge. To adapt an existing or to create a new insurance product, they simply have to instruct the CoPilot with so-called “prompts”, which means entering the needed parameters. The better these “prompts” are, the higher the quality of the results. Another benefit: The CoPilot speeds up the process time impressively,  so that the product design can be completed in a few hours or days.

Like all REALYTIX ZERO features, the CoPilot was designed for underwriters by underwriters as Munich Re’s underwriting experts exactly know the needs of their target group. The use of generative AI for example allows users to enter the prompts for the CoPilot in natural language. This not only further increases the usability and speed of the function, but also the customer experience tremendously.

REALYTIX ZERO and its CoPilot stands for easy integration, speeding up time to market, reducing costs and increasing efficiency. Clients benefit from Munich Re’s know-how by accessing capacity and analytics as well as underwriting and pricing experience even faster and in a more targeted way. The generative AI-driven assistive function is revolutionary in terms of accessibility and usability and drives the promising field of automation in the insurance industry forward. 

REALYTIX ZERO is driving the digitalisation and automation of the underwriting process for primary insurers, brokers and MGAs. Customers can use the platform to digitally configure new insurance products, email notifications, documents and policies themselves directly. The implementation and maintenance of insurance and reinsurance products using a no-code/low-code approach leads to significant time, cost and resource savings. The effect: New insurance products can be implemented and marketed within just a few hours or days. Furthermore, REALYTIX ZERO includes extensive reporting tools for portfolio management. The platform is cloud-based, requires no/minimal programming skills and can be easily integrated with other systems through powerful APIs.

The new generative AI-driven function REALYTIX ZERO CoPilot takes the digital product building of insurance products and the customer experience to a completely new level and speed.

The CoPilot enables ​users to

• change and adapt insurance products extremely fast
• build completely new insurance products from scratch ​
• understand already implemented product logic and premium calculation
• improve insurance products using the conversational capabilities