Jonathan Theders Debunks “Myth of Secrecy” Surrounding Premium Prices in Insurance Thought Leadership Article

Many business owners think that it is beneficial for them to “hide the ball” and provide underwriters with incomplete information about their organization. Jonathan Theders, Principal and Senior Client Executive, disagrees.

Premium prices for nearly all types of insurance have spiked in recent years. This has put a great deal of strain on many business leaders as they struggle to find acceptable commercial policies in an unfavorable marketplace.

Unfortunately, there is a common misconception among applicants that they can game the system by limiting what types of information they share with insurance companies and their underwriters. This belief is not only wrong, but it can actually result in higher premiums than would have otherwise been the case.

This myth of secrecy is not only incorrect but incredibly damaging. When there is a dearth of information about a potential client, underwriters are forced to fill in the blanks as best they can. Underwriters are not an optimistic bunch. When confronted with limited information, they will not assume the best. Instead, they will make conservative assumptions that will likely result in higher premiums than would have been the case if a more transparent approach was taken.
 
- Jonathan Theders, Principal and Senior Client Executive

You can read the full article in Insurance Thought Leadership here.

For more insights from Jonathan, check out his blog post on 9 Ways to Keep Your Organization Safe from Cybercrime.