Homeowners rating

Homeowners includes two demonstration rating implementations:

  • A Guidewire Rating Management implementation that provides a basic structure as well as examples for further development of rating. However, this is not a complete implementation of homeowners rating.
  • A minimal Gosu-based implementation which is not suitable as a basis for further development. You can use this implementation for demonstration purposes. Prior to integrating with an external rating engine, this implementation enables you to bind and issues homeowners policies while working on other parts of PolicyCenter.

In the base configuration, the code for the minimal Gosu-based demonstration rating system is in the gw.lob.hop.rating.HOPDemoRatingEngine class.

Guidewire Rating Management

Guidewire Rating Management includes a partial implementation for homeowners that is similar to homeowners rating specified by ISO.

Disclosing base premium amounts is a particular requirement of homeowners insurance. The base premium value is calculated on the base coverages for the policy, including the default limits and terms for those coverages. When non-default limits or terms are selected for base coverages, these adjustments to the base premium are listed separately.

Rating first calculates and displays a base premium using default values for required section 1 and section 2 coverages. You specify default values for these coverages, and other product model patterns, in Product Designer.

Next, rating calculates adjustments to the base premium for non-default values for section 1 and section 2 coverages. Then rating calculates the remainder of the premium (everything not included in section 1 and section 2 coverages).

In the base configuration, Guidewire Rating Management implements very basic sample rating logic for only some of the defined coverages. This rating logic is implemented in the gw.lob.hop.HOPRatingEngine Gosu class. The implementation also includes rate books, rate tables, and rate routines. To implement rating fully, Guidewire expects insurers to use Guidewire Rating Management or integrate with an external rating engine.

The following coverages return sample premiums from the rating logic provided in the base configuration of Rating Management for homeowners:

  • Coverages in the category “Section I Coverages”
  • Coverages in the category “Section II Coverages”
  • Homeowners Ordinance Or Law
  • Scheduled Personal Property
Note: No other coverages return a premium.

The base configuration includes rating for rate modifiers.

In the Guidewire Rating Management implementation for homeowners, the rating implementation is in the gw.lob.hop.rating.HOPRatingEngine class. The implementation also includes rate books, rate tables, and rate routines.