1. © 2014 Fair Isaac Corporation. Confidential. This presentation is provided for the recipient only and cannot be reproduced or shared without Fair Isaac Corporation’s express consent. Propel Underwriting Performance with Real-Time Automation and Analytics British Columbia Auto Association’s Story Warren Crawford Client Partner Insurance and Healthcare FICO Scott Horwitz Senior Consultant Analytics FICO

2. © 2014 Fair Isaac Corporation. Confidential. Propel Underwriting Performance How do you drive underwriting growth while maintaining resources and keeping risk at bay? 2

3. Agenda © 2014 Fair Isaac Corporation. Confidential. ► Introduction to BCAA Insurance ► Market Advantages ► Challenges ► Goals ► Insurance Strategy ► Why FICO? ► Solution Approach ► Results and Benefits ► Solution Overview ► Looking Ahead 3

4. © 2014 Fair Isaac Corporation. Confidential. ► Auto Club providing insurance, auto service, travel planning and education ► Serving British Columbians for more than 100 years ► 800,000 Members representing 1 in 4 B.C. households ► Customer satisfaction awards: ► J.D. Power and Associates ► AAA North America ► Vision is to be the most trusted organization in British Columbia, absolutely famous for doing the right thing ► Continuous innovations for their members What Is British Columbia Auto Association? 4

5. © 2014 Fair Isaac Corporation. Confidential. ► Mature trusted brand ► Data rich ► Access to membership ► Profitable ► Agile size BCAA Market Advantages © 2014 Fair Isaac Corporation. Confidential. 5

6. ► Tier four size ► Sophisticated competitors ► Lacked analytics ► Unable to quickly understand and adjust to market changes The Challenges They Faced © 2014 Fair Isaac Corporation. Confidential. 6

7. ► Organically grow revenue ► Maintain profitability ► Develop a sustainable advantage ► Test, learn and expand BCAA Insurance Strategy 7

8. © 2014 Fair Isaac Corporation. Confidential. ► Automate faster—and more informed underwriting decisions ► Avoid diluting the current pool of expert underwriters ► Sustain profitability ► Maintain excellent customer satisfaction ► Increase capacity What They Sought to Achieve © 2014 Fair Isaac Corporation. Confidential. 8

9. Why Did BCAA Partner with FICO? 9

10. © 2014 Fair Isaac Corporation. Confidential. Solution Approach: Model Expert Underwriting for STP 1234 Loss Ratio 40 50 60 70 80 90 100 110 120 130 140 0 5678910 Very Profitable Unprofitable Profitable Refer Underwriting Automated Approval N/R Automated Approval Avoid No-DiscountDiscount provided Decline New Business Underwriting Renewal Discounts Deciles (% of Book) by Risk Score Profitability 10

11. © 2014 Fair Isaac Corporation. Confidential. ► Faster new business intake ► Acceptance of more business ► Revenue increased 47% ► Profitable loss ratio maintained ► Avoided additional staffing costs What Did BCAA Accomplish? 11

12. © 2014 Fair Isaac Corporation. Confidential. Custom Solution Using FICO ® Predictive Analytics, FICO ® Model Builder and FICO ® Blaze Advisor ® business rules management system The Nuts and Bolts of the Solution 12

13. © 2014 Fair Isaac Corporation. Confidential. ► Expansion of underwriting analytics ► Leverage insights for future product development ► Extend approach to additional processes and lines of business ► Continuous improvement of STP Looking Ahead 13© 2014 Fair Isaac Corporation. Confidential.

14. © 2014 Fair Isaac Corporation. Confidential. This presentation is provided for the recipient only and cannot be reproduced or shared without Fair Isaac Corporation’s express consent. Warren Crawford WarrenCrawford@FICO.com 760-718-2478 Thank You! Scott Horwitz ScottHorwitz@FICO.com 415-505-4692

15. © 2014 Fair Isaac Corporation. Confidential. Learn More at FICO World Related Sessions ► Taking Underwriting to the Next Level with Predictive Analytics: Prudential ► Product Showcase: Multichannel Communication Solutions for Insurance Products in Solution Center ► FICO ® Decision Management Platform ► FICO ® Blaze Advisor ® business rules management system ► FICO ® Model Builder Experts at FICO World ► Scott Horwitz White Papers Online ► Connecting Insurance Customers—and Decisions—with Technology Blogs ► www.fico.com/blog 15

16. © 2014 Fair Isaac Corporation. Confidential. Please rate this session online! Warren Crawford WarrenCrawford@FICO.com Scott Horwitz ScottHorwitz@FICO.com 16