Confidential: How to proactively manage accumulations at the point of sale

by Heather Munro on July 11, 2016


Photo credit:

In every film, James Bond visits the plush office of his no-nonsense boss known simply as M. As head of the Secret Intelligence Service, M is the brains behind Britain’s top secret agent.

Before giving Bond his undercover assignment, M considers the possible scenarios, strategies, and risks that will affect the mission’s outcome. While the films may show M simply cautioning Bond to follow orders, you can bet he analyzes the situation from every angle before deciding to send him out into the field.

Like M, underwriters spend their days analyzing multiple risks and using their instincts to make critical decisions. When reviewing risks to your portfolio, accumulations are most likely your top concern. Here’s how you can easily avoid adverse concentrations, especially when it comes to terror.

Proactively manage risk accumulations before they hit your books

You don’t have to be James Bond to know that heavily concentrated risks can have catastrophic outcomes. Assessing how all lines of business could be affected by a single event, also known as managing accumulations for the possibility of clash, is an important insurance underwriting strategy.

Not only have past terrorist attacks caused commercial property and life insurance losses, they have affected liability, personal property, fine art, health insurance, workers compensation, auto, and aviation coverages. Performing multi-line analysis is critical to writing a profitable book of business.

Insurers have used a variety of solutions to understand existing portfolio accumulations and establish comfortable limits. When writing new business, underwriters use accumulation management solutions that proactively check limits to stop accumulations from emerging in the first place. SpatialKey allows you to not only benchmark existing portfolio accumulations but check for new ones during the underwriting process.

Like one of Bond’s gadgets made especially for spy missions, SpatialKey is tailor-made for underwriting workflows. You can easily evaluate risk within the context of your current portfolio and claims history, manage within available capacity, and focus on building a healthier portfolio.


Traditional mapping tools offer limited capabilities. SpatialKey, as the leader in geospatial insurance analytics, brings meaningful insights to life with maps that do more.

With SpatialKey, you will:

  • Display a schedule of locations on a map and perform an analysis to identify peak accumulations of exposure
  • Calculate the peak accumulation and rough loss estimates by “modeling” terrorism using a realistic concentric ring analysis
  • Apply varying damage levels to insured locations within specified distances from a potential terrorist attack centroid

Using scenario analysis and concentric ring footprints to determine loss estimates can give you the actionable information you need to keep bad risks from hitting your books.

While it’s best to leave fighting terrorists to MI6, you can approach terrorism underwriting strategically and proactively. Underwriters who carefully manage accumulation risks will do their part to contribute to a healthy and profitable portfolio.

Connect today

Discover how to get the intelligence you need to competitively underwrite risk.

Topics: Underwriting

Popular Posts