Willis Towers Watson has released an updated version of its Radar pricing software. In response to increasing regulatory pressure – particularly in the UK – to demonstrate transparency in pricing, Radar 4.5 provides a range of metrics that give companies insights on pricing fairness.
“Recent proposals by the UK government would give the Competition and Markets Authority new powers to impose fines on companies that overcharge or mislead customers, without going through the courts,” said James Tanser, director of insurance consulting and technology at Willis Towers Watson.
“The need for insurers now to work out the best way to define, monitor and demonstrate fairness is a significant challenge for companies already under constant pressure to innovate in a fiercely competitive industry. This latest release of Radar gives insurers the tools they need to measure fairness in their pricing models and deliver on their commitment to giving their customers clear and fair information so they can make the right decision.”
Radar 4.5 includes an evaluation library to help insurers assess their pricing against several measures of fairness, according to Willis Towers Watson. Other updated features include further enhancements to the software’s Elastic Net machine-learning method.