Can CHRONOS determine a person's lifespan from a photograph of their face?
No, but it is certainly an important part of the process of predicting human lifespan. It adds to the reliability of traditional methods and can more accurately estimate survival at the extremes of the mortality distribution. In combination with responses to certain bio-demographic questions, it provides greater certainty in the establishing of a given risk profile.
What if someone uses another person's image?
The image is required to be similar to their driver's license image and is verified in the application process.
Won't it take many years to see if the loss ratios meet the pricing assumptions?
The assumptions have already been validated based on extensive analysis of hypothetical prospective events. What sets CHRONOS apart is the reliability of predictions. CHRONOS acknowledges the importance of cohort influences on the duration of life. By validating the method over decades of research our approach has proven to be more efficient and reliable than current traditional underwriting practices.
How does this process address adverse selection?
The photograph enables us to assess smoking history, Body Mass Index (BMI), and certain disease risk factors. Only BMI can be measured objectively, everything else for the most part is self-reported. CHRONOS has the ability to address adverse selection better than current underwriting practices where detailed information is not verified through medical records.
Why wouldn't you utilize driving records and medical reports in determining lifespan?
Translating driving records into mortality risk yields has tended to provide less reliable mortality estimates.
CHRONOS uses an applicant's drivers license picture as part of its process, and has access to driving records.
Will CHRONOS increase profitability and save time?
Yes. The cost of traditional underwriting systems is approximately $400 per person (sometimes much more depending on the value of the policy), plus 4x the premium. CHRONOS can remove the 4x factor and lower all underwriting costs above $400.
The CHRONOS system can process an underwriting proposal faster and more accurately, often in 10 minutes or less. Current underwriting practices can take up to a month to establish any given proposal.
How can CHRONOS be integrated with my current system?
CHRONOS can be used to augment current underwriting and once fully functioning, can entirely replace your current underwriting processing system. CHRONOS can be tailored to suit the particular needs of each insurer.
Can the system be easily integrated?
CHRONOS can be integrated and implemented with the help of the CHRONOS technology team, who will ensure an efficient, seamless transition.
Are traditional actuarial processes still relevant?
Yes. Traditional actuarial practices that are proven to be effective are fully incorporated into CHRONOS' system. Those that don't work have been eliminated; those that are partially effective are utilized only where applicable and for the period in which they are effective leaving only those that are demonstrably effective.
We haven't eliminated traditional underwriting processes. Rather, CHRONOS uses those that have proven to be effective and either eliminates or supplements those that aren't by adding innovative enhanced predictors.
So, what is it that sets CHRONOS apart?
CHRONOS has determined from decades of empirical research those estimates of survival that are reliable. The system is fundamentally supported by scientific research, academic publications and statistical analysis. By incorporating three new elements into life event prediction that have never before been used (bio-demography, facial analytics, cloud computing) and by eliminating considerations previously used by the industry that were unreliable or invalid, CHRONOS sets a new standard for accuracy, reliability and speed in the underwriting process.