The company Foresight is revolutionizing the workers compensation industry through technology-backed policies that offer lower policy premiums faster than a standard policy. Foresight is an MGU, or Managing General Underwriter, serving the mid-market in construction, agriculture, manufacturing, and other industries.
Through their proprietary technology, Foresight has created a risk assessment management system that discounts its insured parties for safe working practices. Using their app, insurance brokers and insurance policyholders can make claims, access risk management information, complete safety training, and receive a customized plan to create a safer workplace.
Foresight for Insurance Brokers
Foresight designed this technology with insurance brokers in mind, especially those who work in industries that have been deemed hazardous. For instance, construction workers, factory employees, and those who work in agriculture can experience higher physical risks than someone who works a standard office job or in the hospitality industry. Getting hurt on the job can mean a loss of wages, disruption of productivity, medical bills, and much more. Workers compensation has long been one way employees in these industries can obtain financial support if they are injured.
Foresight is backed by venture capital and used that funding to create a high-tech risk management system. As an MGU, Foresight can underwrite policies and negotiate insurance contracts and administer specific programs, like the one they designed for workers compensation. The company works with insurance brokers to offer the middle market workers compensation that utilizes technology and analytics to assess workplace safety and risk.
Traditionally, a regular workers compensation policy might take three or more years to see lower premiums, and that’s with a stellar safety record. With Foresight, this time is decreased because of the technology used to assess risk. By meeting specific safety metrics, attending training, reporting incidents quickly, and maintaining a safe workplace, Foresight rewards proactive insured parties with lower premiums even sooner.
Changing the Insurance Market
Foresight developed its industry-changing technology over six years with the backing of venture capital. The app they have designed and the data analytics behind it are used to streamline risk management for insurance brokers and workers compensation through Foresight.
The app uses software to gather data regarding safety practices in a workplace, which is private to the policyholder. Users can submit risk reports, utilize safety training information, and make claims through the app. This data is then used to give a company a safety rating, which is public. This safety score is a metric that changes based on the industry’s best practices and the company’s unique risk history that holds the workers compensation policy. Ultimately, the safety score is used to reward a company for meeting safe working practices and can be used to lower insurance premiums if the company displays safe working habits.
High-risk industries like construction or manufacturing spend a lot of money updating their safety plans to make their workplaces safer. Additionally, these industries often pay the highest workers compensation premiums, even while investing in better safety practices. At the same time, a traditional workers compensation policy might offer lower premiums after a few years, Foresight fastracks those discounts so policyholders can benefit.
Digital Risk Management
Insurance brokers can access Foresight’s app to connect with clients, submit compliance reports, manage insured’s claims, offer client support, and much more. Digitizing this data not only streamlines the insurance process, but allows Foresight’s data analytics to continue improving. The more information they have, the better their system becomes.
Foresight’s Chief Insurance Officer reported that their risk management technology could reduce the workplace’s frequency of safety incidents by up to 57%. By creating a platform for reporting safety incidents, policyholders can see where they may have weak points in their system and make appropriate changes according to this data. Foresight works with insurance brokers and policyholders to create a unique, safety-driven plan to improve workplace safety, reduce workers compensation claims, and save money.
Foresight currently operates in eight states:
- New Mexico
They plan to expand to the eastern United States by the end of 2021 and will be rolling out a general liability insurance program in 2021.