New partnership sets ISI on track to lift Australian underwriters’ profitability
- 27 April, 2007 14:24
<p>MELBOURNE, April 27. Independent Systems Integrators Pty Ltd (ISI), leading Australian developer of world class business solutions, has been selected as the preferred systems integrator to help Fair Isaac (FIC) bring its Blaze Advisor rules-based software into the Australian insurance market.</p>
<p>The FIC suite of products will enable the ISI Rules Practice team, which has been helping the Australian market with rules development for the past five years, to add more technical depth and solutions breadth to its portfolio.</p>
<p>Fair Isaac Corporation (NYSE:FIC) is a billion dollar company that helps clients to make business decisions smarter. Joint marketing initiatives were launched recently when Michael J. Gordon, Vice President, Insurance, for Fair Isaac addressed a Technology & Innovation for Insurance event in Sydney.</p>
<p>He said Australian insurers can achieve improvements similar to those experienced by US insurance underwriters which were reporting 25 to 50 per cent rises in underwriting profitability and other efficiencies, with the adoption of decisioning and analytical technologies such as Blaze Advisor.</p>
<p>According to Gordon, the Australian market has ample scope for bottom line improvement. Rules-based technology can allow Australian underwriters to target insurance risk better, and segment their customers more effectively.</p>
<p>Gordon cited results achieved by US insurers using Blaze Advisor:</p>
<p>• A personal lines insurer immediately lowered its combined loss/expense ratio by eight points, reduced underwriting losses and improved targeting of new business.
• A national direct P&C insurer, using scorecards, successfully allowed 20 per cent more automated approval in the first year, while lowering loss ratio by about 5 points.</p>
<p>Other improvements US insurance companies are experiencing through using rules-based and analytical technology include:</p>
<p>• Decisioning on policies automatically reduces costs by 15 – 20 per cent per year.
• Incorporating point-of-sale decisioning can increase qualified leads by 4 – 6 times.
• Effectively segmenting customers through enforcing eligibility rules at decisions improves loss ratio by 3-8 per cent a year.</p>
<p>According to Gordon, Australia’s insurance industry is stepping up its investment in and adoption of IT optimisation and analytical systems on a par with Europe and possibly a little ahead. Although Australia remains about 18 months behind the USA, the local insurance industry’s acceptance of the value of adopting rules-based analytical solutions is growing.</p>
<p>James Righetti, ISI’s Chief of Operations, said Australian insurance companies were showing strong interest in rules-based solutions. “Australian industries are often accused of lagging behind their US peers, but we are working with some insurance companies here that are right up with the leaders and have already achieved strong competitive advantage through adopting rules-based solutions.”</p>
<p>About Independent Systems Integrators (ISI)</p>
<p>ISI (www.isi.com.au) is a leading Australian developer of world class business solutions encompassing hardware, software and peopleware or professional services. The company’s products and services enable medium and large enterprises to derive maximum value and efficiency from their technology. ISI has offices in Australia’s major capital cities. The company is expanding its global reach, employing solutions for a number of large organisations in Australia, the Americas and across Asia Pacific.</p>
<p>ISI has built on its professional services heritage to become a cross-platform systems integrator and solution provider. ISI has broadened beyond the enterprise servers to address whole-of-enterprise computing requirements. ISI has secured a global niche with growing demand for its consulting services and products as a result of its commitment to excellence and skill, and the professionalism of its staff and executive team. ISI is experiencing increasing demand from enterprises for its unique solutions and also from IT companies looking for partnering opportunities.</p>
<p>About Fair Isaac</p>
<p>Fair Isaac Corporation (NYSE:FIC) makes decisions smarter. The company's solutions and technologies for Enterprise Decision Management give businesses the power to automate more processes, and apply more intelligence to every customer interaction. Through increasing the precision, consistency and agility of their decisions, Fair Isaac clients worldwide increase sales, build customer value, cut fraud losses, manage credit risk, reduce operational costs, meet changing compliance demands and enter new markets more profitably. Founded in 1956, Fair Isaac powers hundreds of billions of decisions per year in financial services, insurance, telecommunications, retail, consumer branded goods, healthcare and the public sector. Fair Isaac also helps millions of individuals manage their credit health through the www.myfico.com website.</p>
<p>For more information</p>
Independent Systems Integrators
Tel: (03) 9514 0100