Milliman Appleseed Gains Regulatory Nod for Guidewire’s Fire…

Event summary

Milliman Appleseed secured regulatory approval for Guidewire’s HazardHub Fire Suppression Score (FSS) 2.0 in 40 U.S. states plus D.C.
The approval allows insurers to incorporate pre-approved loss costs and risk scores into rate submissions, streamlining regulatory compliance.
FSS 2.0 evaluates fire damage severity at the address level, factoring in fire department proximity and local firefighting resources.
Milliman Appleseed subscriptions ensure confidential reporting to state regulators, balancing privacy and compliance.

The big picture

The approval underscores the growing demand for advanced risk modeling in property insurance, particularly as wildfire risks escalate. By pre-approving key risk metrics, regulators are enabling faster adoption of data-driven underwriting, potentially reshaping how insurers price policies in high-risk areas. Milliman’s expansion into this space highlights the broader trend of actuarial firms leveraging technology to address evolving environmental challenges.

What we're watching

Adoption Pace: How quickly insurers will integrate FSS 2.0 into pricing models, given the reduced regulatory hurdles.
Competitive Response: Whether rivals will accelerate development of similar risk-scoring tools to maintain market relevance.
Regulatory Expansion: The likelihood of approval in the remaining 10 states, which could further solidify Milliman Appleseed’s market position.