Novacore narrows AI focus to underwriting profitability
Novacore is concentrating its AI investments on a single objective: writing profitable business. Rather than pursuing broad digital transformation, the managing general underwriter targets AI across its underwriting value chain, from submission intake to risk evaluation.
Joe Christman, chief technology and AI officer, said the company aligns its efforts across three constituencies: producers, carrier partners, and internal underwriting teams. Each interaction becomes a target for AI-driven improvement.
Access to advanced models shifts competitive dynamics
The release of next-generation large language models has altered the playing field for mid-sized firms. Christman pointed to Anthropic's Claude Opus as a turning point that gives companies like Novacore access to capabilities once limited to large insurers or technology firms.
Novacore embeds these models across workflows to target inefficiencies that constrain underwriting performance. The focus is practical deployment tied to business outcomes, not experimentation alone.
The improvements extend to how the firm interacts with brokers and carriers. AI tools reduce friction in submission handling, improve data extraction, and accelerate turnaround times. These gains reinforce the firm's ability to select and price risk effectively.
Pairing business and technology leaders drives adoption
Novacore uses a "two-in-the-box" operating model on every initiative, pairing business and technology leaders from day one. This structure ensures subject matter expertise shapes how new capabilities are designed and deployed.
Underwriters and other stakeholders are involved early, reducing the risk of misalignment between tools and user needs. This approach reflects lessons from prior transformation efforts, where lack of end-user engagement limited adoption.
The nature of newer AI tools also smooths adoption. Unlike earlier systems that added complexity, these solutions often remove manual tasks underwriters find burdensome. Resistance to change diminishes when tools solve problems rather than create them.
By automating routine processes, Novacore frees underwriters to focus on higher-value activities such as risk assessment and portfolio management. That reallocation reinforces the company's central objective of improving underwriting quality.
Partner selection tied to AI foundation
Novacore applies strict criteria to external technology partnerships. Any partner must be built on leading generative AI and LLM platforms.
This requirement ensures scalability and continuous improvement. By anchoring partnerships to established AI ecosystems such as OpenAI, Anthropic, and Google, Novacore avoids short-lived solutions.
Leadership alignment sustains the strategy. Christman cited strong support from executives Aaron Miller and Chase Clark, who are actively involved in execution. That top-down commitment establishes a mandate that reinforces adoption across the organization.
Without executive alignment, most companies fail in AI for insurance transformations, Christman said. At Novacore, leadership support extends beyond vision-setting to active participation in operational decisions.
The firm's proprietary platform serves as the central hub for its AI capabilities. By consolidating tools and workflows into a unified environment, Novacore embeds its strategy into daily operations rather than treating it as a standalone initiative.
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