Algorithmic underwriting key to Italian specialty insurer Revo's ambitious growth plan

By Henry Gale

June 13 - (The Insurer) - Algorithmic specialty insurance underwriting is part of how Italian insurer Revo plans to nearly double its premiums by 2028, chief underwriting officer Simone Lazzaro told The Insurer after the firm published its 2026-28 business plan.

In 2021, Revo (then known as Elba Assicurazioni) was acquired by a special purpose acquisition company that aimed to boost its specialty proposition. Under its new management, it has grown gross written premiums from 77.5 million euros ($89 million) in 2021 to 309 million euros ($355 million) in 2024.

Lazzaro identified improved speed of response to quotes as one of the key drivers of Revo's growth in recent years. "At the moment, we are using data to speed up the submission process, so to cut the elapsed time between when you receive the submission to the quotation," he said.

Revo now plans to exceed 550 million euros in premiums by 2028, driven by technology investments, new product launches and changes to its distribution model.

"The idea is to use the algorithmic underwriting for two main things," Lazzaro said. "The first is continuing to cut the elapsed time for all the lines of business … And the second thing is we want to increase the number of straight-through policies in our portfolio."

At the moment, around 40% of Revo's portfolio (representing policies with relatively small limits) is underwritten in a straight-through process, without requiring manual intervention from an underwriter, he continued. Revo is working to extend its algorithmic underwriting capabilities to policies with larger limits, so 70% of its portfolio is underwritten straight-through by 2028.

Although this means automating work underwriters currently do, Lazzaro emphasised that the company wants to use technology to help underwriters, not replace them, and is committed to growing its headcount.

"We need to increase the number of underwriters in order to reinforce the strategic lines of business, first of all," he said. "And second, we will increase all the offices working on data, pricing and analytics."

Lazzaro said Revo believes its gross written premium per underwriter will roughly double in the next three years, with its underwriting staff increasingly focused on portfolio management and high-value submissions.

In Q4 2025, Revo intends to offer a commercial combined insurance product that will be underwritten algorithmically. Initially for companies with up to 2 million euros in revenue, it will be extended to those making up to 10 million euros next year. Revo is also launching into two additional business lines, energy and commercial credit, and plans to expand its market share in Iberia as part of the 2026-28 plan.