Through the partnership, insurers will be able to use ChAI’s expertise for a variety of commodities across metals, energies, plastics, and agriculture on Cytora’s platform. This will provide insurers with insights into commodity price fluctuations and their implications for insurance risks. Users will also have access to price forecasts of up to a year ahead.
The announcement comes at a time of significant volatility in raw material prices triggered by uncertain market conditions and unstable geopolitics. This poses major challenges to insurers.
The integration of ChAI’s forecasting capabilities with Cytora’s risk assessment platform will give insurers the ability to make informed decisions at pace. Insurance firms will also be better equipped to deal with market volatility and embed resilience against global crises.
The partnership should also lead to more insurance solutions being created for smaller companies which are currently underserved by existing risk management solutions.
Juan de Castro, COO at Cytora, commented: “The volatility of today’s markets underscores the need for the best data and analytics to enable better, faster, and more seamless insurance decisions. We are committed to delivering these critical insights for our customers. The Cytora platform will now offer the most expansive spectrum of data on raw materials and commodities, enhancing insurers’ ability to manage risk with unmatched precision and foresight. We are delighted to be working with a company that shares our commitment to continuous innovation and look forward to the transformative impact this collaboration will have on the industry.”
Tristan Fletcher, CEO and co-founder of ChAI, said: “Our collaboration with Cytora represents a significant step forward in applying AI to solve complex problems in the insurance industry. Together, we will enable insurers to navigate the uncertainties of the global commodities markets with greater confidence and precision.”
Source: Reinsurance News
