AI-Driven Solution for Improved, Predictive Underwriting

Using AI to Empower One Client’s Predictive Underwriting Process

Finance

THE CHALLENGE.

Not too long ago, Pegasus One partnered with a leading mortgage provider in the United States to build an intelligent underwriting tool that had to accomplish a number of key goals, essentially all at the same time. Not only did the client need an innovative solution that could summarize case files for easy review, but it also had to empower the client’s own people to assess the cases and make recommendations to the underwriters as well – all in the name of meaningful gains in efficiency and the ultimate quality of the work being performed.

Using AI to Empower One Client’s Predictive Underwriting Process

Finance

THE CHALLENGE.

Not too long ago, Pegasus One partnered with a leading mortgage provider in the United States to build an intelligent underwriting tool that had to accomplish a number of key goals, essentially all at the same time. Not only did the client need an innovative solution that could summarize case files for easy review, but it also had to empower the client’s own people to assess the cases and make recommendations to the underwriters as well – all in the name of meaningful gains in efficiency and the ultimate quality of the work being performed.

APPROACH.

After a series of extensive meetings with the client, Pegasus One got to work on a solution that would help accomplish all of their goals and more. Using optical character recognition and image processing, we were able to design an AI-driven solution that allowed for complex and varied stacks of documents to be read and assembled as a single, consistently formatted document.

Likewise, we were able to use natural language processing to help aid human employees in organizing and extracting data from these source documents. Finally, AI-based machine learning was used to actually make sense of the data, thus assigning accurate and actionable scores to the most promising cases before being handed off to a human for further progress.

RESULTS.

At the end of our work together, the client was able to use the aforementioned solution to enjoy a wide variety of benefits, including but not limited to ones like:

  • Improved efficiency. Thanks to a software-based overhaul, the overall efficiency of their underwriting process improved exponentially.
  • Faster underwriting. This also lead to a dramatic reduction in the total underwriting time, thus empowering human employees to get more work done in a day.
  • Higher acceptance. This turned out to be the most important benefit of all: increased case acceptance percentages AND revenue as well.

VALUE.

All told, the number of cases that the client rejects – largely due to the inefficiencies found in their older processes – is expected to drop significantly from their current rate of 40%. This is possible thanks to our tool, which was built from the top down to make their underwriting process faster, more efficient and more precise.

With regards to long-term gains, this AI-driven solution will also enable the re-insurer to take on more customers – thus making themselves available to a larger number of people than ever. As that number of accepted cases goes up, the underwriting time is expected to go down significantly – thus creating a much-needed boost in revenue as well. All of this was possible by way of a custom AI-driven solution that was built and optimized with this particular client in mind.