AM Best believes that innovation is becoming increasingly important to the long-term success of insurers. On 5 March 2020, AM Best released its newest criteria procedure, Scoring and Assessing Innovation, as well as a revised Best’s Credit Rating Methodology incorporating innovation as a component of its Business Profile building block. AM Best defines innovation as a multistage process whereby an organisation transforms ideas into new or significantly improved products, processes, services or business models that have a measurable positive impact over time and enable the organisation to remain relevant and successful. These products, processes, services or business models can be created organically or adopted from external sources.
In this webinar, AM Best shares how it scores innovation, how it fits into the rating process, provide insight into industry level scoring data and offer observations about the insurance industry’s innovation efforts. AM Best also briefly share an update on some of the operational, risk management and financial implications of the COVID-19 pandemic for insurance companies.
Stefan Holzberger, Senior Managing Director and Chief Rating Officer, AM Best