Home > Resources > Articles > Builders Risk Insurance Vs. Liability Coverage: How Each Benefit Works

Builders Risk Insurance Vs. Liability Coverage: How Each Benefit Works

December 22, 2021 | 86 views

For construction contractors, there is nothing more important than safeguarding your works in progress. After all, if something were to damage the property and interrupt your progress, then you might face a huge financial setback. At this point, it’s critical that you have builder’s risk insurance ready and waiting. Your policy will be there to assist you following property damage at construction sites.

However, your builder’s risk policy will not offer the same coverage to injuries or property damage that you cause to other parties. In this case, separate liability insurance benefits will provide the necessary benefits. Though separate from your builder’s risk policy, liability coverage is equally important. Let’s take a closer look at how these benefits work.

Spotlight

AIA

AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific – wholly-owned branches and subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia, Indonesia, Taiwan, Vietnam, New Zealand, Macau, Brunei, Cambodia, a 97 per cent subsidiary in Sri Lanka, a 49 per cent joint venture in India and a representative office in Myanmar.

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CLAIMS

How the Blockchain is Revolutionizing the Auto Insurance Industry

Article | July 15, 2022

The blockchain has penetrated the mainstream. We predicted this in our 2019 article “Blockchain-as-a-Service: the Accelerator for Blockchain Adoption” where we talked about the technology's ease of integration. Companies can seamlessly adopt blockchain technologies by referring to existing use cases like smart contracts, data authentication, and asset management. They can also take advantage of open-source materials. With the blockchain's accessibility on top of its formidable qualities, it’s no surprise that the digital ledger system is being integrated into every industry–from banking and healthcare to gaming and cybersecurity. As a cornerstone of the rise of financial technology or fintech, another industry it’s now serving is auto insurance. Here’s how the blockchain is revolutionizing the auto insurance industry: Benefits of the blockchain in auto insurance Multiple back-and-forths can slow down the manual processing of both insurance contracts and filed claims. Blockchain-based tools can speed this up by accessing necessary information through the data network. Insurers can easily access and verify the personally-identifiable information (PII) required for insurance contracts via the blockchain, as well. This means no lengthy coordination with other parties, shorter queuing time, and less paperwork. Moreover, the blockchain helps those who buy auto insurance worry less about their PII being used by malicious individuals and organizations. Monash University asserts blockchain security effectiveness by pointing out how its design can alert any network of even the most minor changes to the data it contains. This is because blocks containing data are marked with hashes–input strings of computation characters–that become invalid when information is modified. When hashes become invalid, the network is notified. With such a prompt and responsive alert system, insurance agencies can easily detect hacking activities to protect sensitive data. Blockchain applications in auto insurance The most significant benefit of the blockchain’s application in auto insurance arguably lies in optimizing property and casualty (P&C) insurance verification processes. Sound Dollar defines property and casualty insurance as coverage for any damage the possessions stipulated in your contract incurs. Blockchain-based tools, like smart contracts, can immediately gather relevant information from an insurer's network to verify damaged possessions. It can also identify which ones are covered by your insurance contract. This streamlined verification process saves insurers billions of dollars in operational costs and makes filing a claim much easier for the client. The blockchain can also be used to minimize and prevent fraud. Some of the best blockchain-based tools can identify whether an individual claims payouts from multiple insurers. These tools cross-check PII and non-PII with salient information from claims filed elsewhere to check for similarities. Moreover, the Insurance Innovation Reporter found that advancements in anti-fraud blockchain technology can detect third-party helpers, such as garages and brokers. This enables insurers to expand their data on fraudulent networks and prevent future cases of fraud. Challenges to full implementation of the blockchain in auto insurance Before full-on integration, developers and businesses have to address data integrity. While blockchain data cannot be edited, it does not ascertain that encoded information is true. This means data has to be verified before it's encoded on the blockchain. Blockchain-based technology is also expected to become more expensive in the coming years. As it becomes mainstream, demand for the technology and relevant development research will further drive operation and maintenance costs upwards. There is still much work to be done if the auto insurance industry wishes to fully integrate the blockchain into its workflows. But with the long-term benefits it brings, insurers and clients alike will undoubtedly look to blockchain-based technology for improved services and a better overall experience.

Read More
CLAIMS

How InsurTech-Insurance Partnership Delivers New Product Innovations

Article | September 14, 2021

In 2019, InsurTech funding reached $6 billion, acknowledging the pace that technology can bring to overcome the age-old Insurance problems, the State of AI in Insurance 2020 says. While Incumbents are known for their core competencies in end-to-end insurance processes (from underwriting to claims settlement and reinsurance), InsurTechs are enticing millennials with fully digital innovative products and solutions.

Read More
CORE INSURANCE, RISK MANAGEMENT

The role of AI in enhancing claims experience for Insurance customers

Article | September 22, 2022

Insurance customers are most vulnerable when they file a claim. Be it life or general insurance, claims are filed in distress. This is also a critical moment for Insurers. The claims experience they deliver determines customer loyalty, which also influences referral customers in the long run. In the Insurance industry, where products and pricing among the competitors are almost the same, customer experience becomes the main differentiator.

Read More

5 Deep Learning Use Cases for the Insurance Industry

Article | February 11, 2020

In 2010, with the launch of the Image Net Competition, a vast dataset of about 14 million labeled images was made open-source to inspire the development of cutting-edge image classifiers. This was when Deep Learning technology got it’s a real breakthrough and since then there’s been no looking back for advancements in this field.

Read More
CLAIMS

The Age of Sustainable Fixed-Income Investing Has Arrived

Article | July 15, 2022

The blockchain has penetrated the mainstream. We predicted this in our 2019 article “Blockchain-as-a-Service: the Accelerator for Blockchain Adoption” where we talked about the technology's ease of integration. Companies can seamlessly adopt blockchain technologies by referring to existing use cases like smart contracts, data authentication, and asset management. They can also take advantage of open-source materials. With the blockchain's accessibility on top of its formidable qualities, it’s no surprise that the digital ledger system is being integrated into every industry–from banking and healthcare to gaming and cybersecurity. As a cornerstone of the rise of financial technology or fintech, another industry it’s now serving is auto insurance. Here’s how the blockchain is revolutionizing the auto insurance industry: Benefits of the blockchain in auto insurance Multiple back-and-forths can slow down the manual processing of both insurance contracts and filed claims. Blockchain-based tools can speed this up by accessing necessary information through the data network. Insurers can easily access and verify the personally-identifiable information (PII) required for insurance contracts via the blockchain, as well. This means no lengthy coordination with other parties, shorter queuing time, and less paperwork. Moreover, the blockchain helps those who buy auto insurance worry less about their PII being used by malicious individuals and organizations. Monash University asserts blockchain security effectiveness by pointing out how its design can alert any network of even the most minor changes to the data it contains. This is because blocks containing data are marked with hashes–input strings of computation characters–that become invalid when information is modified. When hashes become invalid, the network is notified. With such a prompt and responsive alert system, insurance agencies can easily detect hacking activities to protect sensitive data. Blockchain applications in auto insurance The most significant benefit of the blockchain’s application in auto insurance arguably lies in optimizing property and casualty (P&C) insurance verification processes. Sound Dollar defines property and casualty insurance as coverage for any damage the possessions stipulated in your contract incurs. Blockchain-based tools, like smart contracts, can immediately gather relevant information from an insurer's network to verify damaged possessions. It can also identify which ones are covered by your insurance contract. This streamlined verification process saves insurers billions of dollars in operational costs and makes filing a claim much easier for the client. The blockchain can also be used to minimize and prevent fraud. Some of the best blockchain-based tools can identify whether an individual claims payouts from multiple insurers. These tools cross-check PII and non-PII with salient information from claims filed elsewhere to check for similarities. Moreover, the Insurance Innovation Reporter found that advancements in anti-fraud blockchain technology can detect third-party helpers, such as garages and brokers. This enables insurers to expand their data on fraudulent networks and prevent future cases of fraud. Challenges to full implementation of the blockchain in auto insurance Before full-on integration, developers and businesses have to address data integrity. While blockchain data cannot be edited, it does not ascertain that encoded information is true. This means data has to be verified before it's encoded on the blockchain. Blockchain-based technology is also expected to become more expensive in the coming years. As it becomes mainstream, demand for the technology and relevant development research will further drive operation and maintenance costs upwards. There is still much work to be done if the auto insurance industry wishes to fully integrate the blockchain into its workflows. But with the long-term benefits it brings, insurers and clients alike will undoubtedly look to blockchain-based technology for improved services and a better overall experience.

Read More
CLAIMS

Are motor claims in Europe about to rebound?

Article | September 14, 2021

In 2019, InsurTech funding reached $6 billion, acknowledging the pace that technology can bring to overcome the age-old Insurance problems, the State of AI in Insurance 2020 says. While Incumbents are known for their core competencies in end-to-end insurance processes (from underwriting to claims settlement and reinsurance), InsurTechs are enticing millennials with fully digital innovative products and solutions.

Read More
CORE INSURANCE, RISK MANAGEMENT

5 Essential Features of Policy Management Tools

Article | September 22, 2022

Insurance customers are most vulnerable when they file a claim. Be it life or general insurance, claims are filed in distress. This is also a critical moment for Insurers. The claims experience they deliver determines customer loyalty, which also influences referral customers in the long run. In the Insurance industry, where products and pricing among the competitors are almost the same, customer experience becomes the main differentiator.

Read More

5 Deep Learning Use Cases for the Insurance Industry

Article | February 11, 2020

In 2010, with the launch of the Image Net Competition, a vast dataset of about 14 million labeled images was made open-source to inspire the development of cutting-edge image classifiers. This was when Deep Learning technology got it’s a real breakthrough and since then there’s been no looking back for advancements in this field.

Read More
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Spotlight

AIA

AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific – wholly-owned branches and subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia, Indonesia, Taiwan, Vietnam, New Zealand, Macau, Brunei, Cambodia, a 97 per cent subsidiary in Sri Lanka, a 49 per cent joint venture in India and a representative office in Myanmar.

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CORE INSURANCE, RISK MANAGEMENT

CCC Intelligent Solutions Joins Duck Creek’s Strategic Partner Program

CCC Intelligent Solutions and Duck Creek Technologies | February 03, 2023

On February 2, 2023, CCC Intelligent Solutions (CCC), a premier SaaS platform powering the P&C insurance industry, joined Duck Creek Technologies' partner program as a strategic member. Duck Creek Technologies is an intelligent solutions provider shaping the future of P&C insurance. Joint customers will benefit from increased automation and improved efficiency in claims handling for both employees and policyholders, thanks to the integration, which will allow Duck Creek core system users seamless access to solutions from CCC's industry-leading claims management suite. Manju Bansal, Vice President, Ecosystems and Alliances for CCC, stated, "Our insurance customers are looking to automation to drive greater efficiency and better experiences for their staff and end consumers." He added, "Working with Duck Creek is a natural extension of our network strategy, which is centered on enabling technology partners to integrate with the CCC platform and offer solutions that add value to our customers' business. This integration will not only save insurers time accessing the tools they need and use every day, but it will also help drive process improvements across their existing workflows." (Source – GlobeNewswire) The Duck Creek and CCC interface gives mutual customers seamless access to their CCC Claim Folders and technologies that promote early claim resolution, such as predictive inspection, which turns complex vehicle damage data into actionable insights at the first notice of loss. Insurers can also hire workers, find repair businesses, and schedule appraisals for policyholders. In addition, single sign-on (SSO) allows insurers to access CCC's platform from Duck Creek Claims. Robert Fletcher, Sr. Partner Manager, Duck Creek Technologies, expressed, "We are delighted to deepen our relationship with CCC." "This is an important integration for our customers who seek to drive efficiency and automation into everyday processes. We're excited to offer seamless access to certain CCC solutions and create even more value for our platform," he concluded. (Source – GlobeNewswire) About CCC Intelligent Solutions CCC's connected data platform is reshaping the trillion-dollar automobile and insurance industries. Its cloud-based SaaS solutions use the latest AI, IoT, telematics, customer experience, mobile, and digital workflow technologies to generate deep, actionable insights that help clients drive business and impact lives. The company has innovated throughout its 40-year history, scaling through client relationships and delivering industry-leading first-to-market solutions. About Duck Creek Technologies Duck Creek Technologies is the intelligent solutions supplier shaping the future of property and casualty (P&C) and general insurance. Modern insurance systems use its platform to perform flexible, innovative, and evergreen operations on the cloud. The company believes insurance should be there for people and businesses when, where, and how they need it. Besides, all its market-leading solutions are available via Duck Creek OnDemand.

Read More

CORE INSURANCE, COMPLIANCE

Utmost Group Upgrades Financial Compliance Capabilities with Napier

Napier and Utmost Group | February 01, 2023

On January 31st, 2023, Utmost Group, which offers insurance and savings solutions, enhanced its financial compliance capabilities in collaboration with Napier, a customizable anti-financial crime compliance provider. Napier's client screening solution, which started operations in just 21 days, was implemented to bolster the company's existing compliance strategy and to facilitate future expansion. The Napier team met these stringent deployment deadlines to meet the time constraints imposed by the expiration of licenses held by the outgoing partner. The Client Screening solution from the company will enhance existing systems by automatically screening clients against sanctions, PEP (Politically Exposed Persons) lists, and other essential watchlists at appropriate intervals. In addition, the AI capabilities will allow for faster screening and help lower the number of false alarms. Paul Smith, Chief Risk Officer at Utmost International Isle of Man, shared, "We needed to rapidly migrate and then implement our existing screening protocols to the new system, so we were delighted that Napier was able to merge two legacy systems neatly into a single hosted instance while levelling up our capabilities. This really made the difference when managing the upgrade of systems that were being made end-of-life earlier than expected." He added, "Compliance requirements inevitably evolve over time as risks also change and criminals become more sophisticated, so we are delighted to have a robust system now in place that will keep us one step ahead of our obligations and enhance our overall services." (Source – Business Wire) About Napier London-based Napier is a compliance technology specialist that operates a platform based on extensive experience and in-depth knowledge. Combining big data technologies with AI and machine learning, the company offers products that improve efficiency and reduce risk. Its strategy underpins the client's policy, process, and procedure, allowing them to concentrate on specific outcomes. The compliance platform is quick, scalable, easily configurable, and intuitive. It rapidly bolsters AML defense and trade compliance capabilities while achieving the compliance requirements and challenges of any industry. About Utmost Group Utmost Group, headquartered in London, is a leading insurance and savings solutions provider. The company offers innovative, adaptable solutions that help clients secure their financial futures. The main divisions of the Group are Utmost International, Utmost Life and Pensions. The key business lines of Utmost International consist of Utmost Corporate Solutions and Utmost Wealth Solutions. The Group has approximately £58 billion in AUA and 550,000 customers as of June 30th, 2022, with over 1,500 employees across all its businesses.

Read More

CORE INSURANCE,CLAIMS

APRIL signs strategic partnership with KKR for its next phase of growth

APRIL | November 28, 2022

With a turnover of €544 million in 2021, double-digit growth dynamics for 2022 and a nearly 20-point rise in its NPS, the APRIL Group has completed its transformation, achieving its objectives more than a year in advance. Building on this upward trajectory and its position as the French leader in wholesale insurance, the group has decided to take its ambitions to the next level and secure the means to become a key player at an international level. To support this new stage of growth, the APRIL Group will now be supported by KKR, which, as a majority shareholder, will bring its global expertise in insurance and financial services. The transaction will be subject to the usual legal and regulatory approvals. "The APRIL Group was created 35 years ago by a visionary entrepreneur. After a great collaboration with CVC Capital Partners, April recovered its original strength. Our aim is to continue the history of this great company and to make it a French champion on a global scale. This next chapter will be enabled by the management team, our 2,300 employees, and KKR, for the benefit of our partners and policyholders," - Eric Maumy, President & CEO of APRIL Group Over the past 3 years, the APRIL Group has reinvented itself: Organic growth of +8% in 2021 thanks to substantial work on products in France and worldwide across all its markets - loan insurance, health / personal protection, casualty niche insurance, international medical insurance - and entering a new market, property insurance, through the acquisition of Magnacarta; Improvement in customer experience, as recognised by 24-point NPS; Returned to its position as an industry leader, with all actors mobilised around the liberalisation of the loan insurance market; Strengthened digital and technological capabilities, with the creation of the dedicated APRIL X hub and the acquisition of ELOA and Comparadise; 800 employees recruited in 3 years; International expansion, with offices opened in Germany and Dubai. About APRIL APRIL is the leading wholesale broker in France, with a network of 15,000 partner brokers. The group's 2,300 staff members aim to offer their customers and partners – individuals, professionals and companies – an outstanding experience, combining the best of human relationships and technology, for health and personal protection for individuals, professionals and VSEs; loan insurance; international health insurance; property and casualty niche insurance; and asset management. By 2023, APRIL aspires to become an agile, omnichannel, digital operator, a champion of customer experience and a leader in its markets, while committing to the social responsibility goals in its Oxygen programme. The APRIL Group operates in 17 countries and recorded turnover of €544m in 2021.

Read More

CORE INSURANCE, RISK MANAGEMENT

CCC Intelligent Solutions Joins Duck Creek’s Strategic Partner Program

CCC Intelligent Solutions and Duck Creek Technologies | February 03, 2023

On February 2, 2023, CCC Intelligent Solutions (CCC), a premier SaaS platform powering the P&C insurance industry, joined Duck Creek Technologies' partner program as a strategic member. Duck Creek Technologies is an intelligent solutions provider shaping the future of P&C insurance. Joint customers will benefit from increased automation and improved efficiency in claims handling for both employees and policyholders, thanks to the integration, which will allow Duck Creek core system users seamless access to solutions from CCC's industry-leading claims management suite. Manju Bansal, Vice President, Ecosystems and Alliances for CCC, stated, "Our insurance customers are looking to automation to drive greater efficiency and better experiences for their staff and end consumers." He added, "Working with Duck Creek is a natural extension of our network strategy, which is centered on enabling technology partners to integrate with the CCC platform and offer solutions that add value to our customers' business. This integration will not only save insurers time accessing the tools they need and use every day, but it will also help drive process improvements across their existing workflows." (Source – GlobeNewswire) The Duck Creek and CCC interface gives mutual customers seamless access to their CCC Claim Folders and technologies that promote early claim resolution, such as predictive inspection, which turns complex vehicle damage data into actionable insights at the first notice of loss. Insurers can also hire workers, find repair businesses, and schedule appraisals for policyholders. In addition, single sign-on (SSO) allows insurers to access CCC's platform from Duck Creek Claims. Robert Fletcher, Sr. Partner Manager, Duck Creek Technologies, expressed, "We are delighted to deepen our relationship with CCC." "This is an important integration for our customers who seek to drive efficiency and automation into everyday processes. We're excited to offer seamless access to certain CCC solutions and create even more value for our platform," he concluded. (Source – GlobeNewswire) About CCC Intelligent Solutions CCC's connected data platform is reshaping the trillion-dollar automobile and insurance industries. Its cloud-based SaaS solutions use the latest AI, IoT, telematics, customer experience, mobile, and digital workflow technologies to generate deep, actionable insights that help clients drive business and impact lives. The company has innovated throughout its 40-year history, scaling through client relationships and delivering industry-leading first-to-market solutions. About Duck Creek Technologies Duck Creek Technologies is the intelligent solutions supplier shaping the future of property and casualty (P&C) and general insurance. Modern insurance systems use its platform to perform flexible, innovative, and evergreen operations on the cloud. The company believes insurance should be there for people and businesses when, where, and how they need it. Besides, all its market-leading solutions are available via Duck Creek OnDemand.

Read More

CORE INSURANCE, COMPLIANCE

Utmost Group Upgrades Financial Compliance Capabilities with Napier

Napier and Utmost Group | February 01, 2023

On January 31st, 2023, Utmost Group, which offers insurance and savings solutions, enhanced its financial compliance capabilities in collaboration with Napier, a customizable anti-financial crime compliance provider. Napier's client screening solution, which started operations in just 21 days, was implemented to bolster the company's existing compliance strategy and to facilitate future expansion. The Napier team met these stringent deployment deadlines to meet the time constraints imposed by the expiration of licenses held by the outgoing partner. The Client Screening solution from the company will enhance existing systems by automatically screening clients against sanctions, PEP (Politically Exposed Persons) lists, and other essential watchlists at appropriate intervals. In addition, the AI capabilities will allow for faster screening and help lower the number of false alarms. Paul Smith, Chief Risk Officer at Utmost International Isle of Man, shared, "We needed to rapidly migrate and then implement our existing screening protocols to the new system, so we were delighted that Napier was able to merge two legacy systems neatly into a single hosted instance while levelling up our capabilities. This really made the difference when managing the upgrade of systems that were being made end-of-life earlier than expected." He added, "Compliance requirements inevitably evolve over time as risks also change and criminals become more sophisticated, so we are delighted to have a robust system now in place that will keep us one step ahead of our obligations and enhance our overall services." (Source – Business Wire) About Napier London-based Napier is a compliance technology specialist that operates a platform based on extensive experience and in-depth knowledge. Combining big data technologies with AI and machine learning, the company offers products that improve efficiency and reduce risk. Its strategy underpins the client's policy, process, and procedure, allowing them to concentrate on specific outcomes. The compliance platform is quick, scalable, easily configurable, and intuitive. It rapidly bolsters AML defense and trade compliance capabilities while achieving the compliance requirements and challenges of any industry. About Utmost Group Utmost Group, headquartered in London, is a leading insurance and savings solutions provider. The company offers innovative, adaptable solutions that help clients secure their financial futures. The main divisions of the Group are Utmost International, Utmost Life and Pensions. The key business lines of Utmost International consist of Utmost Corporate Solutions and Utmost Wealth Solutions. The Group has approximately £58 billion in AUA and 550,000 customers as of June 30th, 2022, with over 1,500 employees across all its businesses.

Read More

CORE INSURANCE,CLAIMS

APRIL signs strategic partnership with KKR for its next phase of growth

APRIL | November 28, 2022

With a turnover of €544 million in 2021, double-digit growth dynamics for 2022 and a nearly 20-point rise in its NPS, the APRIL Group has completed its transformation, achieving its objectives more than a year in advance. Building on this upward trajectory and its position as the French leader in wholesale insurance, the group has decided to take its ambitions to the next level and secure the means to become a key player at an international level. To support this new stage of growth, the APRIL Group will now be supported by KKR, which, as a majority shareholder, will bring its global expertise in insurance and financial services. The transaction will be subject to the usual legal and regulatory approvals. "The APRIL Group was created 35 years ago by a visionary entrepreneur. After a great collaboration with CVC Capital Partners, April recovered its original strength. Our aim is to continue the history of this great company and to make it a French champion on a global scale. This next chapter will be enabled by the management team, our 2,300 employees, and KKR, for the benefit of our partners and policyholders," - Eric Maumy, President & CEO of APRIL Group Over the past 3 years, the APRIL Group has reinvented itself: Organic growth of +8% in 2021 thanks to substantial work on products in France and worldwide across all its markets - loan insurance, health / personal protection, casualty niche insurance, international medical insurance - and entering a new market, property insurance, through the acquisition of Magnacarta; Improvement in customer experience, as recognised by 24-point NPS; Returned to its position as an industry leader, with all actors mobilised around the liberalisation of the loan insurance market; Strengthened digital and technological capabilities, with the creation of the dedicated APRIL X hub and the acquisition of ELOA and Comparadise; 800 employees recruited in 3 years; International expansion, with offices opened in Germany and Dubai. About APRIL APRIL is the leading wholesale broker in France, with a network of 15,000 partner brokers. The group's 2,300 staff members aim to offer their customers and partners – individuals, professionals and companies – an outstanding experience, combining the best of human relationships and technology, for health and personal protection for individuals, professionals and VSEs; loan insurance; international health insurance; property and casualty niche insurance; and asset management. By 2023, APRIL aspires to become an agile, omnichannel, digital operator, a champion of customer experience and a leader in its markets, while committing to the social responsibility goals in its Oxygen programme. The APRIL Group operates in 17 countries and recorded turnover of €544m in 2021.

Read More

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