Optimizing Pricing considering Mutualisation

In this session, Aurélien Bellet, Head of P&C Pricing, Matmut, highlights the critical role of insurance in tackling climate change and the importance of "mutualisation" among policyholders. While AI and data allow for more segmented pricing, the insurers need to optimize pricing strategies to uphold fairness and support.

Bellet also explores the mechanisms and moral values of mutualisation, using the French non-life insurance market as a case study. The discussion delves into balancing business goals with the spirit of solidarity in insurance.

Additionally, the session covers pricing optimization under business constraints, while quantifying individualization or solidarity, and draws insightful analogies from game theory. In conclusion, this presentation emphasizes the necessity of finding a balance to manage risks effectively, especially those linked to climate change.