Case Study: Mountain West Farm Bureau Mutual Insurance Company (MWFBMIC) achieves improved auto underwriting profitability and 20% written-premium growth with Guidewire Predictive Analytics (Guidewire)

Mountain West Farm Bureau Mutual Insurance Company Improves Auto Underwriting Profitability

Mountain West Farm Bureau Mutual Insurance Company (MWFBMIC), a multi-line insurer serving Wyoming and Montana and the only domiciled P&C writer in Wyoming, was facing pricing irregularities in its auto book around 2012 that led to underwriting higher‑risk business and an undesirable risk distribution. In 2013 MWFBMIC partnered with Guidewire Predictive Analytics to develop a loss‑ratio scoring model to identify the drivers of poor profitability.

The model revealed incorrect driver‑to‑vehicle assignments as the root cause, prompting changes in agent and underwriting behavior to capture who drives each vehicle. Deployed in 2014 and actively monitored and adjusted, the scoring model shifted the book toward higher‑profit score ranges and supported approximately 20% growth in written premium over four years while keeping the auto loss ratio relatively flat; MWFBMIC plans a major model update and to extend Predictive Analytics to its property line.

MWFBMIC

Daniel Sorensen

Actuarial Analyst II