Verisk Analytics Stock Price, News & Analysis

Verisk (Nasdaq: VRSK) launched its new EHR Triage Engine, a tool designed for life insurers to expedite application processing by utilizing consumer-authorized electronic health records (EHRs). This innovation can reduce decision times from weeks to mere minutes, allowing insurers to evaluate 95,000 impairments efficiently. By automating the underwriting process for low-risk applicants, Verisk enables underwriters to concentrate on complex cases, delivering a streamlined experience for most applicants. Developed in partnership with SCOR, the engine integrates smoothly into existing systems.

Verisk (Nasdaq: VRSK) has enabled U.S. auto insurers to access driving data from consenting Honda and Acura owners, enhancing their usage-based insurance (UBI) offerings. Through the Verisk Data Exchange™, insurers can utilize this data immediately during the quoting process with tools like the Verisk Driving Score™ and Verisk Driving Data™. These innovations aim to improve the UBI purchase experience by allowing instant behavior-based discounts. With more than 6.4 million vehicles contributing to the Exchange, this partnership is set to significantly impact the telematics landscape.

Verisk (Nasdaq: VRSK) announced that U.S. auto insurers can now access driving data from consenting Honda and Acura vehicle owners via the Verisk Data Exchange™. This development aims to enhance usage-based insurance (UBI) programs, allowing insurers to provide immediate discounts based on driving behavior.

The Verisk Driving Score™ and Verisk Driving Data™ will enable quicker market entry for insurers in the UBI space. With over 6.4 million vehicles and 180 billion miles of driving data, the platform continues to expand, offering significant growth opportunities for insurers.

Verisk (Nasdaq: VRSK) reported second-quarter 2020 consolidated revenues of $679 million, up 4.0%, with net income rising 19.0% to $179 million. Adjusted EBITDA grew 14.5% to $348 million, and diluted EPS increased 20.0% to $1.08. The company generated $250 million in cash from operating activities, a 24.6% increase. Key segments showed mixed performance, with underwriting & rating revenues up 9.1%, while claims declined 8.6%. Verisk maintained strong cash flow and a dividend of 27 cents per share, showcasing resilience amid COVID-19 challenges.

AIR Worldwide announced updated Tropical Cyclone and Earthquake Models for the Caribbean, enhancing risk assessments for insurers across 29 countries. These models integrate new data on seismicity and building codes to provide a detailed view of vulnerabilities and potential losses. The Tropical Cyclone Model incorporates advanced features for various businesses, while the Earthquake Model now includes tsunami and liquefaction risks. This update reflects AIR's commitment to improving resilience against natural disasters in the region, following significant past events like Hurricanes Maria and Irma.

The U.S. property/casualty insurance industry experienced a historic drop in surplus, declining by $75.9 billion in Q1 2020, totaling $771.9 billion. This downturn was driven by significant investment valuation losses amid the COVID-19 pandemic. Despite this, net income after taxes remained stable at $17.9 billion, and net written premiums rose by 6.2% to $164.4 billion. However, experts predict substantial changes in claims and insured exposures due to ongoing economic disruptions. Verisk and APCIA highlight that personal auto insurers have offered over $13 billion in rebates.

AIR Worldwide announced an updated Earthquake Model for Australia, following findings from Geoscience Australia's National Seismic Hazard Model that reduced the perception of seismic risk. The new model integrates historical data and updates from GA to enhance risk management solutions for the insurance sector. Key upgrades include a revised fault database, improved ground motion equations, and new vulnerability functions. Additionally, AIR released nine Extreme Disaster Scenarios to aid clients in stress testing potential impacts of rare yet plausible events. The model is available through Touchstone® and Touchstone Re systems.

Verisk (Nasdaq: VRSK) announced the latest release of its ARC platform, enhancing cyber risk modeling capabilities. The updated ARC offers comprehensive models, including a new probabilistic systemic ransomware model, which simulates aggregated losses from major ransomware attacks such as WannaCry. Given that the economic loss from a significant ransomware event can exceed 15 billion USD, effective modeling is crucial for the insurance industry. Enhancements also feature an improved user interface, automated workflows, and extensive loss breakdowns, solidifying Verisk's position in the emerging cyber risk market.