Improving car insurance profitability

ANWB its the Royal Dutch Touring Club, a travelers' association in the Netherlands with 4.5 million members that is best known for its roadside assistance. Car insurances for individuals and businesses are part of its services. However despite the insurance volume, the B2B car insurances were loosing money making it unsustainable in the long run.

VizBiz analyzed the B2B insurance portfolio and analysed the revenues and profitability of the different market segments. The car incidents database and customer database were combined in order to get a good overview of profitable and loss making segments, and the distribution of car incidents.

It became clear that certain market segments had far more incidents than others and which effect company size had on car incidents. Using these quantified facts, the insurance team could propose structural changes to the insurance policy conditions and the pricing mechanisms used. This has restored profitability of the B2B car insurances.