Analytics

JLT’s market-leading specialty analytics platform identifies, quantifies, and fully defines our clients’ financial exposures, providing actionable information to support insurance program decisions.

Analytics

Our platform includes:

Cost and volatility analysis – this platform fuses brokerage, claims and analytics expertise to provide a comprehensive view of risk scenarios and the value of insurance programs to protect your organization against them. We provide focus in specialty industries such as aerospace, energy, entertainment and hospitality, construction, technology, marine, private equity and real estate. In addition, we have experience constructing bespoke models for any given risk class, including D&O, E&O, cyber, environmental, complex property / business interruption, and credit, political, and security risk.

Our approach is unique in that we take a future five-year perspective to each risk assessment, allowing us to change the risk factors to map to anticipated changes. Our process does not start with data, it ends with it – we first seek to understand the risk fully so that we only apply the most relevant data to our analysis. Our models deliver insights that are easy to understand and communicate to your board and senior stakeholders to support investment decisions.

CAT modeling and exposure analysis – JLT clients have a full suite of international catastrophe (CAT) modeling capabilities available to them for traditional CAT exposures, such as earthquake, windstorm, and convective storm. In addition, we have invested in the development of tools for specialized risk classes, including:

  • Terrorism (Sunstone™) – with over one million targets and 40+ attack types
  • Construction (CEECAT) – which leverages historic construction data and additional data sets to enhance existing CAT modeling tool outputs and view exposure over the lifetime of a project (vs. one point in time)
  • Flood (E-FIRMS) – provides flood zone information on a more granular level than traditional flood mapping, as well as estimates damage from various flood scenarios
  • Wildfire and weather

In utilizing the JLT tool suite, our clients can better understand their CAT exposures. In many cases, our tools and analysis provide insights not available from any other risk advisor.

Actuarial analysis – JLT’s team of credentialed actuaries and analysts support reserve analysis, collateral analysis, and loss trending analysis for our clients. The benefit to our clients is a better understanding of the development of losses, identification of potential collateral reduction opportunities, and support of the insurance placement process.

Claims analytics – JLT’s claims analytics tools for casualty risks (i.e. auto or workers’ compensation) are based on specialized benchmarks, such as state level data. We create a true comparison of your performance against what is happening in the industry and offer specialized expertise and advice on best practices.

Our best practice benchmarks seek to capture the nuances of specific businesses and industry sectors - and differentiate JLT from other risk advisors. The benefit to our clients is a roadmap to lower claims costs, improved workplace safety, and improved return on investment for both insurance and risk mitigation programs.

Enterprise risk modeling – In addition to traditional insurance risks, JLT builds risk models for business risks such as commodity prices and production delays. Today, many emerging risks, such as cyber, contain both insurable and uninsurable components.

Our enterprise approach allows for insurable and uninsurable components to be analyzed simultaneously, which provides a full perspective of the risk, a better understanding of potential risk scenarios, and recommendations regarding the correct blend of insurance program and risk mitigation investment spend.

Case study

A large financial institution was merging with another large institution, and the company sought advice as to the appropriate limits and retentions for NewCo.

Through an advanced analytics approach, JLT constructed cost and volatility analysis models to analyze 15 lines of insurance for both predecessor companies as well as NewCo – including financial line, casualty, cyber, and property risks.

These models analyzed the appropriateness of insurance program limits and retentions by measuring the average cost, volatility, and risk tolerance aspects of several insurance program options for each risk.

The results allowed for recommendations to be made for the NewCo for limits and retentions for all 15 risk classes. The recommendations were presented to the board for final approval in the decision making process.

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