Software analytics company FICO has teamed up with health tech company dacadoo to improve life insurance risk management.  

This collaboration will integrate FICO’s AI and decision management tools with dacadoo’s health risk quantification engine, providing insurers with risk assessments for customers. 

The aim is to help insurers transition from “static underwriting” methods to behaviour-based models to lower operational costs and enhance risk management. 

This partnership delivers personalised risk scoring, behavioural insights for policyholders, and enables real-time decision-making for claims processing and onboarding.  

Predictive modelling will also be available for evaluating claims, policy lapses and customer lifetime value. 

FICO and dacadoo claim that insurers implementing their integrated solutions could see a 20–30% rise in customer lifetime value due to improved personalisation. 

Additionally, the adoption of automated, real-time decision-making could reduce underwriting times by 30–50%. 

dacadoo president and CEO Peter Ohnemus said: “Through our new partnership with FICO, insurers will be able to use more dynamic data to assess the risk of each applicant, and to design highly personalised insurance products for their customers using advanced decision science.  

“They can use the FICO capabilities to enhance their own risk modelling and create more complex decision trees. We are giving insurers a whole new level of risk assessment precision to help them build their portfolio.” 

FICO global partners and alliances vice-president Alexandre Graff stated: “We see the dacadoo platform as a game-changer. It not only helps insurers grow their business responsibly, it helps people better manage their health through the digital health engagement platform. We see tremendous opportunities to infuse FICO’s expertise in AI and decision management into dacadoo’s platform and create a better outcome for insurers and individuals.”