HANSA 04-2018

Schiffstechnik | Ship Technology
Big Data arrives in marine insurance
Vessel performance data is already being used to optimize efficiency on ship and fleet level.
In a new approach, other stakeholders are also getting access to real-time behavioral data to
include it in their processes
Performance data is
made available via mobile
solutions
Wärtsilä subsidiary Eniram has
launched Eniram SkyLight 3.0 for
fleet performance monitoring and is
partnering with Concirrus to deliver
new solutions for marine insurance underwriting
based on accurate operational
data. Concirrus offers an AI-powered
insurance software platform that uses real-time
behavioral data instead of demographics
as an indicator of risk.
SkyLight 3.0 is an update to Eniram’s
subscription-based fleet performance
monitoring service. It now includes mobile
notifications and virtual propeller
RPM sensing. Satu Lipponen, Head
of Commercial Portfolio, Eniram, explains
that the stand-alone Eniram Sky-
Light Transponder is installed on board
where it collects data such as location
(GPS) and the vessel’s motions. This data
is sent to the cloud for further processing
using a built-in satellite connection.
Additional data is collected from noon
reports and route files delivered by the
officers on board. All this data is combined
with other data sources like global
weather forecasts. Skylight acts as a
fuel performance monitoring solution
for vessel owners, operators, or charterers,
but is also designed to enable new data-driven
business development opportunities
across the marine sector, including
flexible insurance solutions, maintenance
monitoring, and vessel performance
monitoring services.
The partnership with Concirrus will
see navigation and situational data integrated
into Concirrus’ marine insurance
underwriters’ application Quest. It enables
insurers to manage their risks in real
time, attaining operating efficiencies and
insights that are otherwise impossible to
achieve. Accurate, real-time operational
data will be used to provide a transparent
and shared view of risk, with tailored
insurance that allows customers to pay
only for what they need.
The concept of a connected policy in
insurance exists in other insurance lines
already. »The closest comparison to what
we are doing with Eniram and Concirrus
would be commercial vehicle insurance
where connected policies have existed
for some time using telematics technology
installed on the vehicles,« Graham
Libaert, Product Director at
Source: Eniram
Concirrus, tells HANSA. Concirrus have
been working in the »Internet of Things«
space since 2012 were approached by a
marine insurer to explore ways to apply
their thinking in the marine insurance
market. »With the marine industry having
long ago adopted technology, Concirrus
could see that there was tonnes of
data from marine operators that would
be very useful for insurers,« Libaert says.
No »over-« or »under-insurance«
Traditionally marine insurance policies
have been underwritten using demographic
factors such as vessel age,
flag, dwt, operator, owner etc. Historic
claims experience is likely to also be factored
into the premium. This could also
be done with the observed situational
and behavioral experience into the model,
by looking at things such as historical
movement and location for an individual
or fleet of vessels. This permits a more accurate
representation of risk. From here
the insurer can offer more appropriate
cover so that the owner isn’t under or
over insured.
»Concirrus have already proven that
these factors can improve existing models
and are in fact a better predictor of
loss than a number of the demographic
ratings used today. The availability and
robustness of Enirams Skylight navigational
data takes the clarity and management
of risk to the next level«, Libaert
says. He gives examples of how different
types of location and movement
data can be used to tailor insurance
policies:
• l Geographic: Existing
insurance policies may include
geographic limitations,
however they are often generalized
across an entire fleet which
means marine operators may be
paying for insurance that they
don’t need. With access to historic
and real-time geographic data, an
insurer could offer a new connected
policy with geographic inclusions
that are directly tailored to that ma-
62 HANSA International Maritime Journal – 155. Jahrgang – 2018 – Nr. 4