How Insillion Automates 3 Core Workflows in Commercial Insurance Underwriting

Commercial Insurance Underwriting Software 

Commercial insurance underwriting is drowning in paperwork. Underwriters spend more time on manual tasks than on evaluating risks. The solution lies in automated underwriting systems that shift focus from administration to risk assessment.

Despite economic uncertainty, capital market volatility, and uneven performance across individual lines of business, US commercial insurers continue to demonstrate strong underwriting discipline. According to AM Best, commercial lines insurers maintained combined ratios in the mid-90% range and operating ratios in the low-to-mid 80% range through 2025, supporting returns on capital of approximately 10%. This sustained performance, however, increasingly depends on operational efficiency and smarter risk selection. 

Modern commercial insurance underwriting software provides API-driven, cloud-based tools that help carriers and MGAs automate workflows, accelerate product launches, and scale efficiently. 

In this blog, we’ll explore three underwriting workflows where insurance underwriting software is reshaping P&C underwriting workflows. 

1. Straight-Through Processing (STP) for new business submissions 
2. Endorsement automation for policy changes 
3. Dynamic rate management with Master Data Management (MDM) 

While each workflow delivers value, the greatest competitive advantage lies in the ability to update and deploy rates quickly. 

Straight-Through Processing (STP) 

Straight-Through Processing (STP) has already proven its value in insurance. While STP is widely used in personal lines like auto, adoption in commercial insurance remains limited. Commercial submissions often arrive in multiple formats, such as PDFs, Excel spreadsheets, and emails, making quick eligibility checks challenging.  

Manual processing slows low-risk cases and prevents underwriters from focusing on complex, high-value risks. The result? Slower turnaround times, inconsistent decisions, and higher operational costs. 

How Insillion Solves This

Modern commercial insurance underwriting software creates a balance between artificial intelligence and traditional technology. Commercial and specialty insurers are increasingly investing in innovative technologies, particularly AI-driven tools, to keep pace with evolving market practices and gain a competitive edge in data access, pricing accuracy, and risk selection. This shift reflects growing pressure to maintain underwriting margins while scaling volume. 

48% of insurers use STP for more than half of their underwriting transactions. Modern underwriting software for insurance leverages AI and Intelligent Document Processing to instantly extract submission data from any format, while AI parses unstructured content to capture submission data for key fields automatically. 

1. High-volume, low-complexity cases flow through STP automatically, reducing decision times. 
2. Complex exceptions are routed to an underwriter’s queue with validated data attached, so specialists can focus on higher-value risks. 

Industry research shows 95% of P&C policies will eventually flow through STP systems. According to Datos Insights, to achieve the required agility and 60–70% straight-through processing, insurers are moving away from monolithic core systems in favor of AI-driven underwriting workbenches that are modular, flexible, and API-enabled. This results in a leaner operation that can handle a higher volume of policies without increasing headcount. In addition, STP further reduces cost savings by lowering error rates and spending fewer resources on correcting mistakes. 

Endorsements and Policy Servicing  

Underwriters often spend disproportionate time handling routine policy endorsements, updating addresses, adjusting coverage limits, or adding locations. Though simple, these changes traditionally require manual rekeying across systems, premium recalculations, and document reissuance. This creates backlogs and rising administrative costs at a time when commercial insurers are under pressure to preserve strong operating performance despite elevated claims severity and litigation trends. 

How Insillion Solves This

Commercial insurance underwriting systems capture endorsement requests directly from agents and brokers, applying predefined rules to automate approvals: 

1. Simple changes are auto-approved without underwriter intervention 
2. Complex adjustments are routed to the appropriate reviewer with complete audit trails 
3. Required documents are generated automatically 

With automated underwriting systems, endorsement processing times shrink, error rates decline, and rework is minimized. Faster servicing improves agent experience and retention, an increasingly important differentiator as competition intensifies across admitted and E&S markets.  A recent Deloitte survey showed that 68% of insurers are focused on technology that improves the customer experience 

Rate Changes in Master Data Management 

While STP and endorsements improve efficiency, rate agility is what truly defines underwriting competitiveness.  Actuaries and underwriters often maintain complex rating logic in Excel spreadsheets refined over the years. Traditional policy administration systems require long development cycles to implement even minor changes, delaying market response. 

How Insillion Solves This

Excel-to-API product builder transforms static rating logic into dynamic, deployable solutions: 

1. Rate updates are uploaded in CSV, validated through maker-checker workflows, and approved with audit trails 
2. Version-controlled deployment ensures consistency across all systems via insurance rating APIs 

As per Deloitte, this approach using commercial insurance rating software reduces development time from 3–6 months to just 3–4 weeks to modify existing coverage. Centralized Master Data Management ensures consistent rating across products and channels, giving insurers the agility to adjust rates confidently in response to market conditions while significantly reducing development time and costs. 

Better Decisions Through Effective Rate Management 

The three workflows are interconnected parts of a unified digital underwriting strategy. McKinsey estimates that up to 40% of P&C carrier expenses are found in their top core processes, like underwriting. By improving these workflows, carriers and MGAs can become more agile and reduce costs. Automated underwriting solutions combined with insurance rating APIs allow rapid product development and distribution. Modern underwriting software like Insillion preserves Excel-based expertise while adding automation and controls needed for enterprise success. 

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