As the name suggests, Nuon AI’s Nuon Bid stops a quote from being presented in the event where there is a high probability it will not be purchased.
This can be useful for insurance companies competing on aggregator sites such as GoCompare who are concerned with their click-to-purchase ratio.
Nuon Bid observes the flow of quotes through the system and using AI, evaluates the probability of a quote being purchased.
Based on feedback from purchases and an understanding of the desired click-to-purchase ratio, Nuon Bid will automatically limit the quotes that are least likely to be purchased. Nuon Bid experiments in real-time, constantly allowing it to adjust to market conditions.
Nuon Bid is configurable and will allow an underwriter to bias rating factors in the case where an insurance company is growing a book for a given profile.
It can also be used in conjunction with Nuon AI’s Live Price Adjust to changing pricing as far as possible, rejecting the quote if a purchasable price cannot be reached.
An underwriter configures a Nuon Bid + Auto Price Adjust system to allow a price drop of up to 3%, with a required click-to-purchase floor ratio of 25%.
A bias is set on a rating factor LONDON as location choice in an effort to grow the London book.
Against this configuration, two similar quotes come through the system, one with location factor as LONDON, one as CARDIFF.
After a 3% price drop, both are still seen as just below the purchase probability threshold to be presented for quotation, but after adjusting for factor bias, the LONDON quote is allowed through whilst CARDIFF is intercepted.
Nuon AI Ltd, 57 The Boundary, Langton Green, Tunbridge Wells, England, TN3 0YA
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