Pricing & portfolio management

Advice for personal and commercial lines insurers and banking and financiers – backed by market leading analytics modelling and strategy development.

Finity

Our focus

Our team of pricing experts helps insurers deeply understand their position in the market, and help to gain and sustain competitive advantage.

Pricing and portfolio management

Core pricing models

Sophisticated statistical modelling and machine learning techniques balanced with the commercial imperative.

We build technical models for attritional cost, customer demand and competitor deconstructions, which underpin the pricing for many insurers and financiers in Australia and New Zealand.

In addition to off-the-shelf techniques and bespoke machine learning algorithms designed for core components of pricing modelling resulting in enhanced predictive power, and ultimately better pricing outcomes.

Pricing and portfolio management

Optimal pricing decisions

Our extensive decision support tools enable clients to make better informed pricing decisions.

An effective, transparent framework which harnesses the value of your full arsenal of predictive models is key to a value maximising process.

We have experience with a wide range of commercially available optimisation algorithms and can also offer a unique approach to price optimisation successfully deployed by a number of insurers, which consistently delivers improved business performance across a varied range of pricing objectives. 

Pricing and portfolio management

Monitoring portfolio performance

We have a vision – the portfolio manager turns the computer on in the morning and the monitoring system gives immediate feedback about changes in the portfolio, or deviation from budget projections at a granular, segment level. With this ultimate goal in mind, our machine learning algorithms used for portfolio monitoring go a long way to making this a reality.

We hear about great BI systems that can be sliced and diced by any combination of factors, which lay unused by time-poor portfolio managers. Identifying changes in trend or deviation from projections by key segments saves a lot of time in identifying the “story behind the numbers”.

Finity

Model monitoring

Strong predictive models are at the heart of good pricing decisions - but the predictive power of even the best model can deteriorate over time as market conditions evolve. Knowing when change happens and how to quickly adapt models is essential.

We have developed a model monitoring framework for this purpose. This includes metrics developed specifically for model monitoring as standard model fit metrics are not necessarily commercially appropriate.

We also use machine learning techniques to identify poorly fitting segments, enabling efficient model augmentation. 

Pricing portfolio management

Portfolio & pricing strategy

We have access to unique industry data, bespoke templates and can help you answer strategic queries, such as; Should I expand my product range over the next 5-10 years? How? 

We take the time to learn your business and to understand your objectives, helping you consider important scenarios such as trends in competition, price sensitivity, market demand, regulation, vehicle safety, self driving cars, urbanisation and other social trends.

Pricing portfolio management

Partner with Australia & New Zealand's most experienced pricing & analytics team

Our pricing team has over 150 years of combined knowledge of the insurance market and have a vast range of relevant services, underpinned by market leading analytics and pragmatic, value adding advice that we've curated for pricing teams.

Nelson Henwood
Principal, Finity

Pricing tools to empower your portfolio management

  • Telematics

    Develop a telematics strategy that best fits your business plans and corporate objectives, utilising our proprietary telematics financial model to simulate a range of strategies and market responses. We understand the available data and how to source it and use it. Talk to us about business feasibility testing, product design and pricing.
  • External data expertise

    Supplementing your existing data, Finity can plug in powerful datasets and data products for insurers to gain a competitive edge. We work with you to determine which external data sets can enhance your predictive models and deliver better pricing outcomes. We use external data to explain trends and to understand your customers and your business in a way that you couldn’t previously.
  • Long tail pricing provider of choice

    We combine your portfolio expertise and our industry knowledge to understand market level risks, trends and real-world experience to help you make commercial pricing decisions. We'll tailor our projects to account for any legislative constraints.
  • Predictive modelling

    Access highly accurate predictions of customer behaviour. Used widely across the industry, we work with you to create custom or off-the-shelf models that manage claims costs, product demand and help you build a sustainable competitive advantage.
  • Best practice rating algorithms

    Whether you are looking to a live model deployment or more traditional tables and co-efficient based solution, Finity can help design and populate a rating algorithm that will help to achieve your portfolio objectives. We can also assist with implementation across a range of providers and work closely with providers such as Earnix and Duck Creek. Finity also provides rating engine solutions (see Finrater) for clients looking for an easily configurable, flexible, cost effective rating solution. Talk to us about this rapidly evolving area.
  • Strategic advice large or small

    We advise start-ups to the largest underwriters in Australia and New Zealand to develop smart pricing strategies customised for your unique market position.

Meet some of our specialists

Wei Lin

Wei Lin

Principal
Wei Lin

Wei Lin

Principal

wei.lin@finity.com.au 

Ph +61 2 8252 3312

Mobile +61 414 461 388

LinkedIn: https://www.linkedin.com/in/wei-lin-94770413/

Qualifications

BComm (ACST) / FIAA

Wei is a Principal at Finity with 13 years of General Insurance experience. During his career Wei has consulted to a number of insurers on pricing and analytics matters including technical pricing, price optimisation, customer behaviour analytics, competitor monitoring, operational review through predictive analytics and benchmarking, as well as implementation of pricing and analytical insights. Wei has extensive pricing experience across a range personal lines and commercial lines products.

Area of expertise
  • Technical pricing
  • Price optimisation
  • Personal lines pricing
  • Commercial lines pricing
  • Customer behaviour analytics
  • Competitor monitoring
  • Operational review through predictive analytics and benchmarking,
  • Implementation of pricing and analytical insights
Talk to me about
  • Best practice rating algorithms
Nelson Henwood

Nelson Henwood

Principal
Nelson Henwood

Nelson Henwood

Principal

nelson.henwood@finity.com.au

 Ph +61 2 8252 3460

 Mobile +61 438 656 341

LinkedIn: https://www.linkedin.com/in/nelson-henwood-402848128/

Qualifications

BEc, FIAA

Nelson is a Director and Principal of Finity Consulting with over 20 years’ experience in General Insurance. Nelson leads Finity’s personal lines pricing practice. He specialises in providing analytics, pricing and portfolio management advice for personal and commercial lines to a range of clients in Australia and New Zealand.

Areas of Expertise
  • Pricing – personal lines and small commercial
  • Underwriting and product design
  • Portfolio monitoring systems
  • Statistical modeling of claims and sales experience
  • Portfolio segmentation using machine learning
  • Insurance systems and pricing engines
  • Price optimisation
Talk to me about
  • Pricing & Portfolio Management
  • Predictive modelling using statistical and machine learning methods
  • Optimal pricing decisions
  • External data 
  • Best practice rating algorithms
  • Strategic pricing & underwriting
  • Telematics

 

Simon Young

Simon Young

Principal
Simon Young

Simon Young

Principal

simon.young@finityconsulting.co.nz 

Ph +64 (9) 306 7708

Mobile +64 (22) 6456 283

LinkedIn: https://www.linkedin.com/in/simon-young-69a5b584/

Qualifications

BSc (Hons), FIAA, FNZSA

Simon is a Principal of Finity based in our Auckland office. Simon has worked in general insurance since 2006 across New Zealand, Australia and the UK. He specializes in providing pricing and portfolio management advice together with key inputs such as competitor pricing monitoring and natural perils. Simon leads our offering in New Zealand in these spaces.

Areas of Expertise
  • Pricing – personal and commercial
  • Natural perils
  • Competitor price monitoring
  • Underwriting and product design
  • Machine learning and statistical techniques
Talk to me about
  • Pricing & Portfolio management
  • Predictive modelling
  • Optimal pricing decisions
  • Strategic pricing & underwriting
  • Competitor price monitoring & analysis
  • Finesse
  • Finquote
  • Finperils
Finity

Commercial Lines pricing

The Commercial Lines classes present challenges, including poor, scarce or incomplete data, the impact of large claims and the greater variety in the types of risk being insured.

We recognise the importance of underwriter judgement, whether at the individual risk level or in setting book premium rates, and typically work closely with the underwriter in the course of our work in Commercial Lines.

Extend your pricing capabilities with our suite of data & analytics products

Finity offers a range of products to help pricing teams, product and portfolio managers to understand market pricing, risk and portfolio performance and to deliver pricing to market.

Innovative products. Practical insights. Infinite possibility.

Powered by smart, results-oriented people with unrivalled depth of industry experience, we can provide a unique perspective across a wide range of business challenges.

Contact us