ZestyAI announced that its non-weather water risk model, Z-WATER, has been reviewed and accepted for use in underwriting and rating in Illinois, Indiana, Iowa, Louisiana, and Wisconsin.
Insurers in these states will now be able to set property-specific rates, align coverage with home-level vulnerabilities, and target inspections and mitigation strategies—including smart water sensors—to reduce cross-subsidization and improve portfolio performance.
Claim severity for non-weather water has climbed 80% in the past decade, and average losses now exceed $13,000, making it the fourth-costliest peril in homeowners insurance, ZestyAI said.
Using verified insurer loss data, Z-WATER applies computer vision to aerial imagery and incorporates property-level data, permitting history, localized climatology, and infrastructure context to capture the property-specific drivers of interior water losses. By modeling how these variables interact, Z-WATER predicts both the frequency and severity of non-weather water claims with up to 18× greater accuracy than traditional models.
Was this article valuable?
Here are more articles you may enjoy.
The most important insurance news,in your inbox every business day.
Get the insurance industry’s trusted newsletter
