How to drive profitable growth with Federato’s quadrant scoring system

The quadrant score brings together two essential underwriting data points: winnability and appetite. By combining advanced machine learning with configurable business rules, the Federato platform dynamically scores each submission as it's received across both dimensions and assigns a quadrant score of 1-4, enabling underwriters to quickly evaluate which submissions will drive the most impact and why.

By using a quadrant scoring system, underwriters can align individual risk selection with enterprise-level portfolio goals, ensuring that every decision supports the organization’s strategy for profitable growth. This is the foundation of true operational excellence with a RiskOps framework: giving front-line teams the tools and insights they need to execute with precision, while adapting seamlessly as conditions change. 

Understanding winnability and appetite

Winnability

Winnability is calculated using Federato’s AI models, which combine traditional insurance data (e.g., loss history, exposures) with behavioral interaction data (e.g., how fast brokers respond, past quote success) to calculate the likelihood of a submission binding.

Appetite reflects strategic alignment and is derived from the insurer’s specific underwriting rules, goals, and referral guidelines. These can be codified directly into the platform and updated as strategy evolves.

With dynamic access to these scores, ranked according to the business's unique portfolio goals, Federato gives underwriters real-time visibility into a submission’s strategic value and likelihood of success.

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4 quadrants of underwriting prioritization

Federato’s platform visualizes appetite and winnability together in a quadrant system that gives underwriters actionable insight into submission prioritization. This empowers underwriters to triage and prioritize in real time:

1. High appetite / high winnability: These deals are aligned with strategy and highly likely to bind. They are top priorities.
2. High appetite / low winnability: These are strategically important but may be harder to win. They may merit additional underwriting effort, such as leveraging relationships or pricing flexibility.
3. Low appetite / high winnability: These are likely to bind if quoted, but don’t fit well with the insurer’s strategy. These may be pursued selectively to address specific portfolio goals or market demands, while maintaining alignment with overall strategy.
4. Low appetite / low winnability: Low-return submissions that should be deprioritized to conserve time for higher-value opportunities.

This prioritization workflow evolves as strategies, market conditions, and portfolio needs change, all powered by continuous data updates.

Quadrant scoring in action: Velocity Risk

Velocity Risk, a commercial E&S property insurer, leveraged Federato’s quadrant scoring to significantly enhance underwriting efficiency and better align its portfolio. Results included:

• An 89% reduction in time to quote, dropping from more than 20 days to under 48 hours
• A 3.7x increase in the percentage of bound policies that matched high-appetite criteria
• Strengthened broker relationships and increased reinsurer confidence through faster, more strategic execution

A flexible decision-support tool for underwriters

Federato’s quadrant scoring system is a configurable, decision-support tool, not a rigid workflow. Underwriting teams can tailor rules, thresholds, and visualizations to reflect evolving business priorities. The platform helps teams focus their time and resources on the submissions that matter most, driving profitable growth through operational precision.

Explore how Federato’s quadrant scoring system can help your team drive profitable growth. Book a demo or take a self-guided tour of the platform today.