AI Renewal Rate Calculation Agent

How Cassidy automates this using AI

Step 1: Trigger on renewal cycle

The Workflow activates when a group approaches its renewal window, pulling eligibility, claims, and financial data from your admin and claims systems.

Step 2: Validate and normalize data

Cassidy checks data completeness, flags anomalies, and applies completion factors to calculate incurred claims with IBNR adjustments.

Step 3: Segment and pool large claims

The Agent identifies shock claims above the pooling threshold, computes net claims, and calculates the manual pooling charge—documenting each decision.

Step 4: Apply trend and credibility

Cassidy trends net claims forward, applies benefit leveraging, determines credibility weights by group size and variance, and blends experience with manual rates.

Step 5: Build retention and finalize rates

The Workflow assembles retention loads—admin, commissions, taxes, risk margins—and computes final premium PMPM and rate actions by product, class, and tier.

Step 6: Generate exhibits and explanations

Cassidy produces broker-ready materials: experience summaries, large claim detail, credibility tables, trend assumptions, retention breakdowns, and what-if scenarios with human-readable explanations.

Step 7: Route for approval

Completed renewal packages route to underwriting for sign-off, with full audit trail and override tracking, then push structured rate files to downstream systems.