Disclosure Plus: actionable behavioural research that improves underwriting disclosure

Underwriting can only be as accurate as the information applicants give, yet inaccurate disclosures remain a problem for insurers around the world. The problem becomes more critical as we increase the need for speed in the underwriting journey.

Swiss Re is using Behavioural Economics to understand how to improve disclosure and accuracy during underwriting and ultimately help create more clear and intuitive journeys for customers. We conducted tests in a digital laboratory environment – trying different ways of asking for information – and got better results: nearly 90% of the questions tested demonstrated statistically significant improvement on disclosure rates. 

Our standard approach to conduct randomized controlled trials in Underwriting is not always straightforward. We often encounter administrative challenges and sometimes regulatory limitations.

To overcome this problem, we conducted breakthrough research in a digital laboratory called "Disclosure Plus". Building on trial experience from different countries, products and distributions, we redesigned and tested underwriting questions using choice architecture concepts, (i.e. adjusting ways in which choices are presented to customers).

Here's what we found: by changing aspects like the preamble statements at the start of an application and redesigning how a signature is requested, we were able to create statistically significant improvement in disclosures on 89% of the underwriting questions tested.

As the first reinsurer with a dedicated Behavioural Economics team since 2013, we have amassed deep, global understanding of how to nudge behaviour and get more accurate responses while creating clear and intuitive journeys for customers. Contact us to learn how we can work together to deploy Behavioural Economics to improve your business.

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