Behavioral intelligence is transforming how insurers assess risk, enhance profitability, and promote fairness in underwriting. In a recent interview with AAIS Partner Pinpoint Predictive, Inc., we explored how carriers can leverage these insights at key stages of the insurance value chain—from risk selection to renewal strategies. Scott Ham, CEO of Pinpoint Predictive, Inc., explained that by incorporating unconventional technologies and behavioral insights, insurers are gaining a more complete picture of their customers, leading to smarter decisions and more equitable outcomes.

Over the past decade, there has been a new paradigm emerging in the American fire service. This paradigm shift is often referred to as Community Risk Reduction, or simply CRR. The genesis of this change comes from the British fire service, where in the early 2000s the central government mandated that local fire services meet challenging fire reduction targets or face substantial budget cuts. These fire reduction targets were initially dismissed as absurd by fire personnel who had seen limited success in their legacy fire prevention efforts and assumed people were going to continue to make bad choices and fires would continue to happen unabated. However, given that they were facing potentially daunting cuts, the fire services across the UK got creative. They figured out what strategies actually worked, and they started seeing substantial reductions in fires countrywide. What they originally dismissed as absurd ended up turning into a nearly 60% reduction in the total number of fires across the country and nearly a 40% reduction in primary dwelling fires[i] over the initial ten-year period. Meanwhile, during that same period, according to the NFPA’s annual fire loss reports, the number of fire incidents in the U.S. remained largely unchanged[ii].