JERSEY CITY, N.J., March 29, 2011 – ISO announces the launch of the ISO Casualty IndexTM (the “Index”), a new service providing loss ratio and loss development trends for select lines of casualty insurance.
ISO, a member of the Verisk Insurance Solutions group at Verisk Analytics, is a leading provider of property/casualty insurance risk information. Using advanced technologies to collect, analyze, develop, and deliver information, ISO provides data, analytics, and decision-support services that help its customers evaluate and manage risk.
The Index is based on ISO’s statistical data collected from more than 700 insurer groups throughout the United States and containing more than 15 billion transactional records. The statistical data used for the Index also underlies ISO’s advisory prospective loss costs and rating information. As an alternative way to manage casualty risk, the Index permits customers to track underwriting cycles, manage adverse loss experience, and benchmark performance.
“The Index is a timely source of experience-year information representing specific markets over a broad segment of the casualty insurance industry. The depth and breadth of the statistical data collected by ISO allows for a high degree of Index customization and enables historical correlation testing between an individual insurer’s results and the Index,” said Carole Banfield, executive vice president at ISO.
Currently, the Index covers ten defined segments within the general liability and commercial auto lines of business. The Index is updated quarterly for the rolling 10 experience years within each segment.
“The granularity of the data is what differentiates this Index and ISO,” said Virginia Prevosto, vice president at ISO. “The Index is designed for use by actuaries, underwriters, and other insurance professionals, in addition to participants in the insurance-linked securities markets.”
ISO developed the Index over the last year. JLT Re was integral in cultivating interest and input from its customer base and active market participants ranging from reinsurance companies to capital markets.
Greg Habay, senior vice president at JLT Re, stated, “The combination of ISO’s data resources and brand recognition coupled with the need for such an index led to this logical strategic relationship between ISO and JLT Re.”
“This is an exciting foray into the world of casualty insurance that has been off limits for most insurance-linked securities investors, and it will provide valuable coverage to buyers and diversification to sellers,” adds Habay.
JLT Re is the first company to license the ISO Casualty Index to facilitate innovative casualty risk-transfer and insurance-linked securities transactions.
Since 1971, ISO has been a leading source of information about property/casualty insurance risk. For a broad spectrum of commercial and personal lines of insurance, the company provides statistical, actuarial, underwriting, and claims information; policy language; information about specific locations; fraud-identification tools; and technical services. ISO serves insurers, reinsurers, agents and brokers, insurance regulators, risk managers, and other participants in the property/casualty insurance marketplace. ISO is a member of the Verisk Insurance Solutions group at Verisk Analytics. For more information, visit www.iso.com and www.verisk.com.
About JLT Re
JLT Re, a trading division of JLT Reinsurance Brokers Limited, is a dedicated reinsurance broking and consultancy company. Headquartered in London, it is authorized and regulated by the Financial Services Authority and accredited by Lloyd’s. JLT Reinsurance Brokers Limited is a wholly owned subsidiary of the Jardine Lloyd Thompson Group and provides reinsurance broking services and risk management advice to some of the world’s leading insurance and reinsurance companies. For more information, visit and www.jltre.com and www.jltgroup.com.