RGA takes a proactive approach to risk management, working with clients not only to mitigate downside risks, but also to enhance value in their businesses. This requires adapting as new challenges arise, anticipating change, and capitalizing on emerging opportunities. In 2021, RGA helped clients navigate the many challenges of the COVID-19 pandemic while continuing to provide future-focused solutions and advance strategies for long-term growth.
Mortality Business Focuses on the Future
RGA ended 2021 with $3.5 trillion of life reinsurance in force and solidified its position as an industry leader in mortality risk, the company’s foundational business line. RGA’s comprehensive portfolio of mortality reinsurance products includes individual and group-issued term life, whole life, universal life, and joint and last survivor life, among other coverages developed to meet market needs.
As the pandemic accelerated the use of digital technology and data analytics, RGA partnered with clients to both address immediate needs and build the future of life insurance. RGA claims professionals provided clients with expert guidance in managing the surge of COVID-19 claims while introducing future-focused imaging and digital tools to claims processing. Data scientists modeled short- and long-term COVID-19 mortality and morbidity impacts while also investigating the potential implications of emerging risk factors, ranging from climate change to genomic medicine. In collaboration with RGAX colleagues, RGA launched and expanded data-driven digital products and services to help clients reach consumers amid pandemic-driven limitations to in-person engagement and to provide platforms for sustained automated insurance sales moving forward.
RGA’s core expertise in risk assessment remains a signature strength and key differentiator. In 2021, RGA underwriters reviewed more than 380,000 facultative cases globally, a 15% increase over 2020, and 647 insurance companies accessed RGA’s Global Underwriting Manual (GUM), generating more than 650,000 logins. The GUM team also launched its Precision Calculator, which consolidates a range of continuously updated data, including interacting and contingent risk factors, within a single automated tool.
RGA’s core expertise in risk assessment remains a signature strength and key differentiator.
AURA NEXT, RGA’s automated underwriting decision management platform, continued to upgrade technologies and customer engagement techniques, empowering clients worldwide to advance accelerated underwriting programs and expand their direct-to-consumer digital channels. TAI (Tindall Associates, Inc.), an RGA subsidiary and the U.S. market leader in reinsurance software and administration services, continued its global expansion and built on its partnership with MIB to leverage a combined, unprecedented data vault to better identify coverage limit violations for large (“jumbo”) policies and provide additional underwriting risk alerts.
Group Team Delivers Client-Focused Solutions
RGA partners with group insurers to serve consumers through a range of products and workplace solutions, including life, disability, healthcare, accident, critical illness, and life catastrophe coverage. In 2021, RGA’s group reinsurance experts provided value-added services to help clients operate more efficiently, access new distribution channels, and launch innovative products. Examples include the following:
- Developed a Long COVID Disability Claims Toolkit, via collaboration between RGA’s U.S. and South Africa teams, to help identify and assess long COVID claims and prepare claimants to return to work.
- Introduced a pricing tool and standardized health product in the Middle East to increase efficiency of adoption, especially for smaller group employers.
- Supported RGAX partner YuLife in launching a new digitally distributed family income benefit.
- Partnered with a large global broker in Portugal to offer a voluntary critical illness product leveraging the broker’s enrollment platform.
U.S. Group Re expanded its differentiated portfolio of products and services to build on the growth momentum of recent years. Continued insurer adoption of the Group RiskDimensionsSM suite of digital solutions, most notably the MedScore automated medical risk assessment tool, solidified RGA as a leader in the application of risk scores within group insurance. For health insurers, RGA’s “one healthcare” approach provided comprehensive excess of loss, quota share, and self-funded turnkey solutions. To combat high claims volumes driven by COVID-19, the health team successfully executed a program to accelerate reinsurance claims turnaround time.
RGA’s ROSE® Consulting Group, a leading reinsurance-based cost and medical risk advisory program, collaborated with U.S. Group Re colleagues to lead an industry dialogue around the imminent challenges of gene therapy, providing insights on approved and coming therapies, the potential risk to insurers, and reinsurance coverage options. The ROSE program, which has saved health insurers more than $445 million since its inception in 1984, launched an innovative audit bonus initiative in 2021 to help clients more cost-effectively manage complex claims.
Global Health Executes Growth Strategy
Disciplined adherence to a long-term growth strategy paid dividends for RGA’s Global Health business in 2021, which increased total revenues by 25% over 2020. Target markets in every region contributed to business expansion, and the global team continued to explore potential new markets and products worldwide. RGA also strengthened its reputation for thought leadership in health insurance, providing timely insights on topics ranging from pharmaceutical specialist medications to digitalization of healthcare service delivery, and of course the impact of COVID-19 on healthcare experience.
Continued expansion of the Global Health team’s technical capabilities and ongoing buildout of digital infrastructure resulted in further development of automated solutions. RASCL (RGA’s Automated Solution for Claims Leakage), a digital tool employing research-based rules, artificial intelligence, and advanced technology to speed claims and prevent fraud and abuse, signed its first clients in 2021 and generated a number of leads and proof of concepts in select markets. Meanwhile, HEIDI (Health Ecosystem Integrating Digital Innovations), which vets and consolidates the leading local and global digital healthcare services into a single consumer digital health journey and footprint, moved into its launch and execution stage.