The future of underwriting lies in deeper, more strategic partnerships between insurance carriers and agents, with carriers playing an active role in helping agencies optimize their entire books of business for better profitability.
That was the message from Chad Combs, vice president of personal lines underwriting at Ohio Mutual Insurance Group, during his keynote speech at the Insurance Innovators USA conference in Nashville.
“Underwriting today is not functioning as it should,” said Combs. “The knowledge base, the workflows, and the systems we rely on aren’t adequately designed to address the real challenges we face in today’s market.”
Through conversations with agents, Combs said it’s become obvious that carriers aren’t paying enough attention to the broader context of an agency’s book — whether that’s within specific regions or growth sectors.
Too often, carriers play a reactive role — responding only to claims and requests — rather than being proactive partners. To thrive in the years ahead, especially with younger agents entering the industry, Combs emphasized that carriers and their underwriters need to take on the role of advisors, actively guiding agents in developing high-potential accounts — a process that may require years of strategic effort.
In today’s environment, carriers must evolve beyond simply offering policies and acting as a safety net. Sometimes, Combs noted, they need to serve as a wake-up call — highlighting when agencies aren’t nurturing top-tier clients or making meaningful progress in growing their business.
“The future underwriter — and future carrier — must be an expert in empowering agents. That’s the skill we need to master,” Combs stated.
This shift will require carriers to coach agents consistently, use data and analytics to help prevent large losses, create ideal client profiles, automate routine tasks, and actively manage the overall performance of agencies’ portfolios. Rather than focusing solely on acquiring new business, Combs said, the industry should place more emphasis on improving policy renewals and long-term client relationships.
“Agents have more on their plates than ever before. They need help identifying the three or four policies in their book where they can have the biggest impact,” he said.
Carriers must be equipped to answer essential questions from agents, such as: “Which policy should I focus on today to create the most value?” According to Combs, these are the kinds of tools and insights agents need in order to truly move forward.
That kind of relationship requires sustained effort. Too often, Combs said, the problem lies in failing to follow through with agents over time.
He likened this dynamic to growing certain species of giant bamboo — plants that must be watered consistently for years before showing any visible signs of growth. Then, suddenly, in the fourth year, they shoot up rapidly.
The same principle applies to agencies. Carriers and underwriters need to commit to regular engagement, identifying and nurturing a few high-value opportunities each month. Eventually, that agency may become a standout performer.
Not all clients require the same level of attention. For example, an average agent’s book might include 500 homeowners policies, but only about 10% of those accounts typically need continuous oversight or extra effort, Combs explained. Carriers can provide valuable support by helping agents identify which policies demand that extra focus.
“We need to get better at setting priorities,” he said.
Many agents, like drivers, often believe they’re doing everything right. But moving forward, it will fall to carriers to show agencies where they can improve — offering insights into their books of business, delivering training, developing product strategies, and introducing new technologies and tools, Combs added.
Once that foundation is built, carriers should take a step back and allow agents to thrive on their own.
“The underwriter of tomorrow supports agents, aligns with their objectives, and then steps aside,” Combs concluded. “We have to ask ourselves: do we want to maintain the status quo, or do we want to lead the way?”
I completely agree with this perspective. Collaboration between underwriters and agents is key to adapting in today’s fast-paced insurance market. It fosters better client solutions and faster decisions.
While collaboration sounds great in theory, I think it might slow down processes. Sometimes too much back-and-forth between underwriters and agents can delay approvals and frustrate clients.
This article highlights a trend I’ve seen firsthand. The more underwriters and agents work together, the stronger the relationships and the better the policies. It’s definitely the way forward.