Guidewire offers insurers faster access to pre-approved risk scores

SAN MATEO, Calif. - Guidewire (GWRE), a $19 billion market cap insurance software leader with strong financial health according to InvestingPro analysis, announced a new subscription service that provides property and casualty insurers with accelerated access to regulator pre-approved risk scores through Milliman Appleseed, an advisory organization licensed to file with state insurance regulators across the U.S.

The service, which begins with Guidewire’s HazardHub Fire Suppression Score (FSS) 2.0, allows insurers to reference pre-approved filings in their rate submissions, reducing the regulatory hurdles typically associated with implementing new risk assessment tools. This innovation comes as Guidewire demonstrates strong business momentum, with revenue growing at 18.6% and analysts expecting 21% growth in fiscal year 2025.

HazardHub provides property risk scores across more than 70 perils using over 1,000 data points. The FSS 2.0 specifically assesses the likelihood of damage from structure fires at the address level by analyzing factors such as nearby fire department capabilities and available fire suppression resources.

"Access to affordable and sustainable insurance coverage is more critical than ever," said Tammy Nichols Schwartz, Senior Director of Analytics at Guidewire. "By leveraging more data and risk scores directly correlated with loss, insurers can enhance risk selection, reduce loss ratios, and help build more resilient communities."

According to the company, insurers who subscribe to the service can implement new risk models with fewer regulatory delays, enhance underwriting accuracy, and improve customer experience through faster policy approvals.

Christina Hupy, Vice President of HazardHub at Guidewire, stated that the collaboration with Milliman Appleseed supports more efficient underwriting and pricing decisions.

Guidewire currently serves more than 570 insurers across 42 countries, according to the press release statement. The company maintains a healthy financial position with a current ratio of 3.23, indicating strong liquidity to support its global operations. For detailed analysis and additional insights, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 top US stocks including Guidewire.

In other recent news, Guidewire has reported notable achievements in its financial performance and operational capabilities. The company is expected to surpass $1 billion in annual recurring revenue next month, marking a significant milestone, as noted by JPMorgan, which maintained its Overweight rating and $288 price target for the company. DA Davidson also raised its price target for Guidewire to $246 from $226, following strong fiscal third-quarter results that exceeded expectations in total revenue, annual recurring revenue, and non-GAAP operating income. Guidewire’s success in closing 17 cloud deals, including five new clients, has contributed to this positive financial performance, prompting management to slightly increase their financial guidance for fiscal year 2025.

Additionally, Guidewire’s Marketplace has achieved over 20,000 partner integration downloads, reflecting a 32% year-over-year growth, and solidifying its position as the largest integration ecosystem in the property and casualty insurance industry. The company has also launched a Docusign integration for its PolicyCenter and ClaimCenter platforms, enabling insurers to digitize agreement workflows and significantly reduce policy change processing times. In other company news, Finzly has appointed Adam Carson as its first Chief Financial Officer and Robert Coakley as Head of Partnerships to support its expansion efforts. Carson’s extensive experience in software and technology companies is expected to be instrumental in scaling Finzly’s operations.

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