Traditionally, underwriting for health insurance involves conducting blood tests and other examinations to understand how much insurers can afford. However, this process tends to be slow and costly, thus needing a better alternative. That’s where digital healthcare company Advanced Health Intelligence (ASX: AHI) comes in. The Company has entered a Letter of Intent (LOI) with UK-based health and life insurance provider Unisure Group to design, develop and deploy the AHI Biometric Health Assessment (BHA), a data-driven healthcare app that can paint a more extensive picture on a smartphone.
This partnership involves reinsurer SCOR and Unisure using AHI’s technology to digitally assess the health risk of at least 5,000 people, especially for insurance screenings.
Chief Innovation Officer at AHI, Dylan Garnett, said, “With more than two decades of experience in the insurance industry, I’ve witnessed its evolution, particularly the growing need for digital transformation in insurance underwriting. This transition is to deliver a more cost-effective and precise approach to assessing the appropriate coverage for individuals. Unisure is an ideal collaborator for the initial implementation of the BHA underwriting solution. We will launch the program involving a minimum of 5,000 participants, which will be crucial learnings in providing us with feedback and helping us shape the perfect product offering for the market.”
The LOI results from exploratory discussions between AHI, SCOR and Unisure over several months. SCOR decided to partner with Unisure to create a digital app with AHI. Unisure and AHI have signed a Letter of Intent to build a unique digital insurance tool that uses AHI’s innovative smartphone-based health risk assessment.
This partnership aims to develop creative insurance products by combining AHI’s technology with SCOR’s reinsurance expertise to serve the worldwide retail insurance market. Working together with Unisure and SCOR offers a notable chance to use AHI’s unique digital blood markers, phenotypical data, and insurers’ valuable actuarial and underwriting information to create fresh digital underwriting solutions.
AHI Founder and Head of Strategy, Vlado Bosanac, shared, “The collaboration signifies a major milestone in our journey to demonstrate to the insurance industry the powerful data AHI delivers to assist the industry in better understanding their policyholders, their health and the appropriate coverage they need. This partnership enhances our industry understanding of digital insurance tools and positions AHI at the forefront of the digital insurance revolution, unlocking cost-effective solutions for the unpenetrated middle market.”
The plan is for this to be the first in a series of product developments by AHI for the insurance market, aimed at modernising risk assessment. This digital approach can eventually complement the traditional blood testing method used for underwriting. AHI’s extensive range of 61 health data points, resulting in 41 biometric measurements across five critical health and disease risk categories—cardio-respiratory, body composition, estimated blood markers, metabolic health, and mental health—provides in-depth insights into morbidity and mortality risks. These insights are relevant for setting health and life insurance policy prices.
AHI expects to generate revenue through this agreement once the initial solution is deployed. However, several key steps need to be completed before reaching that point. Firstly, it must finalise and sign commercial contracts, establishing essential details such as the pricing structure and the initial target market for the BHA (Biometric Health Assessment). Secondly, it needs to develop prototypes of the BHA, subjecting them to a three to six-month performance testing period to inform the final design of the solution. Lastly, it needs to deploy the final BHA solution within the product systems of SCOR and Unisure.
As of now, pricing details have not been confirmed. So, AHI has not specified how revenue will be generated under these commercial contracts nor determined the associated costs.
Alinda is a Business Reporter for The Sentiment
Latest posts by Alinda Gupta (see all)
- Ovanti’s iSentric signs contracts worth $14.4m with Malaysian commercial bank - June 27, 2024
- Baby Bunting fights back from retail downturn with 5-year strategy, includes Gen-Z focus and self-funded growth - June 27, 2024
- CLEO meets with US FDA to develop strategy for ovarian cancer test launch - June 26, 2024
Leave a Comment
You must be logged in to post a comment.