Parametrization in Insurance: How Higson Empowers Flexible, Real-Time Product Configuration

MARCIN NOWAK
June 20, 2025

Introduction

Insurance products rely on a dense web of parameters: coverage limits, pricing models, risk bundles, eligibility criteria, exclusions, and commission structures. These components must be easy to configure, update, and audit.

Many insurers still rely on systems where business rules are hardcoded or managed in scattered spreadsheets. This creates delays, introduces risk, and limits transparency.

A modern insurance product configurator, driven by a smart rules engine, allows insurers to manage all parameters centrally and adjust them in real time. Higson provides exactly that: a platform where business users, not just developers, can define and deploy product logic independently.

What Parametrization Means in Insurance

Parametrization is the structured management of variables that define how insurance products behave. Common parameters include:

  • Coverage limits
  • Risk packages
  • Pricing rules and tariffs
  • Eligibility conditions
  • Policy exclusions
  • Product variants
  • Commission and sales logic
  • Reference data (vehicles, countries, sectors)
  • Terms and legal clauses

A flexible product configurator allows insurers to update products without rebuilding them from scratch.

Key Challenges with Traditional Approaches

1. Hardcoded Logic in Legacy Systems

When every rule or parameter must be changed in code, even minor updates become:

  • Time-consuming to implement
  • Prone to operational errors
  • Dependent on IT teams
  • Difficult to audit or roll back

2. Fragmented Rule and Data Management

When parameters are distributed across multiple tools and systems, insurers face:

  • Inconsistent product versions
  • Complex system integrations
  • Compliance risks and audit gaps

How Higson Simplifies Product Configuration Using a Rules Engine

Higson’s solution puts business users in control of product configuration. Its built-in rules engine supports real-time updates and centralized logic management.

1. Centralized Configuration Interface

Business users can manage all insurance rules and parameters from one platform. They can:

  • Create and edit coverage, pricing, and eligibility rules
  • Organize logic by product or process
  • Test and preview before deployment

2. Full Version History and Auditability

Every change is version-controlled and logged. This ensures:

  • Multiple product versions can run in parallel
  • Historical configurations are accessible for renewals
  • Regulatory audits are simple and complete

3. Real-Time Synchronization Across Systems

Higson updates take effect immediately across all integrated systems:

  • Quoting and sales platforms
  • Policy admin and claims tools
  • Agent interfaces and portals

4. API-First Integration

All logic and parameters are accessible via APIs. This supports:

  • Seamless connection with internal and external systems
  • Automated data exchange
  • Unified reference data management

How Higson Stands Out as an Insurance Product Configurator

Feature Legacy Systems Higson
Rule management Requires developers Business-user friendly
Product update speed Slow Instant
Channel consistency Often fragmented Real-time synchronization
Regulatory traceability Manual Fully auditable

Practical Use Cases

Product Variant Creation

A product team duplicates an existing product, adjusts limits and pricing, tests changes, and publishes a new variant within a day.

Regulatory Response

A compliance officer adjusts an exclusion rule and publishes the change instantly. All sales channels are updated without IT.

Discount Campaign

Marketing launches a time-limited offer using start and end date parameters. Performance is monitored and adjusted on the fly.

Risk Adjustment

Underwriting responds to market trends by updating premium rates for specific segments, with immediate rollout.

Business Benefits of Higson’s Rules-Driven Configurator

Faster Innovation

  • Roll out products or campaigns in days, not months
  • Adjust parameters based on customer feedback or market trends

Reduced Operational Risk

  • Eliminate manual reconfiguration
  • Minimize inconsistency across platforms

Lower IT Dependency

  • Let business teams manage logic directly
  • Free up developers for core system work

Full Audit and Compliance Control

  • All changes are traceable
  • Audits are quick and complete

Conclusion

Higson’s insurance product configurator, powered by a scalable rules engine, allows insurers to modernize product management and empower their business teams. By centralizing configuration, enabling real-time deployment, and ensuring compliance through automation, Higson turns product complexity into a competitive advantage.

For insurance companies looking to improve speed, control, and accuracy, the shift to a rules-driven configurator is not just helpful. It’s essential.

Get a personalized evaluation of Higson's potential for your use case
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