precedent

Background

Precedent, established in 2022 and headquartered in Charlotte, North Carolina, is an innovative company specializing in artificial intelligence (AI) solutions tailored for the insurance industry. The company's mission is to simplify the bodily injury claims process through powerful AI data solutions, leading to accurate, successful, and timely claims resolution.

Key Strategic Focus

Precedent's strategic focus centers on leveraging AI to enhance the efficiency and accuracy of handling attorney-represented injury claims. The company offers advanced monitoring, benchmarking, and guidance features designed to save insurance carriers time and money. By providing a solution rather than a platform, Precedent aims to address specific challenges in the claims process, ensuring seamless integration and user-friendly experiences for its clients.

Financials and Funding

Since its inception, Precedent has demonstrated significant growth. The company has raised a total of $9 million in funding over one round, with the seed funding round completed on June 15, 2023.

Technological Platform and Innovation

Precedent distinguishes itself through its proprietary AI-driven technologies that accurately identify critical data from lengthy and complex documents. This capability is particularly beneficial in the context of attorney-represented injury claims, where the volume and complexity of documentation can be overwhelming. By automating data extraction and analysis, Precedent's solutions enhance the speed and accuracy of claims processing, setting a new standard in the industry.

Leadership Team

Precedent's leadership team comprises seasoned professionals with extensive experience in AI, data science, and the insurance industry:

• Grant Little, CEO: With over 20 years in the insurance sector, Grant has held leadership positions at companies such as AIG, Farmers, LexisNexis, and National General Insurance. His expertise lies in technology innovation and analytics, including the development of AI-based virtual inspection systems.

• Jim Andrews, President and Co-founder: Jim brings 15 years of experience in the insurance industry. Prior to Precedent, he co-founded Carpe Data, which was acquired by Thomas H. Lee Partners in 2022. His background includes roles at ChoicePoint and LexisNexis, providing him with a comprehensive understanding of software and data applications in insurance.

• Logan Chittenden, Chief Technology Officer: Logan has a diverse background in AI, virtual reality, translation, InsurTech, and cloud systems. He has held positions such as Enterprise Software Architect at EverQuote and Senior Software Engineer at Amazon. Notably, he co-founded SayHi, leading the development of mobile translation apps that achieved significant market success.

• Derrick Stuckey, Chief Data Scientist: Derrick holds a BA in Physics and a BS in Business Analytics. His experience spans roles as a software developer in the defense industry and as a data scientist at OrderUp and Lotame, where he developed predictive models and big data workflows.

• Sean Gallagher, CFO: Sean has held pivotal roles in Finance and Operations at organizations such as Wayfair, Liberty Mutual, National General Insurance, and Adir Ventures. As COO of the Health Division at National General, he led corporate development and executed seven acquisitions within five years.

• Matthew Slocum, VP of Product: With 14 years at GEICO, Matt was responsible for defining and developing multiple new products and product teams, including the award-winning GEICO Mobile App and various digital claims automation products.

• Allan Alford, Chief Information and Security Officer: Allan has over 20 years in information security, serving as CISO in five industries. His background includes roles in technology, manufacturing, telecommunications, litigation, education, and cybersecurity.

• Celeste Little, Chief People Officer: Celeste brings over 20 years of experience in leadership and the insurance industry, focusing on creating exceptional experiences for employees and customers. She oversees Quality Assurance, Human Resources, and Recruiting.

• Sivongile White, Senior Director, Strategic Projects: With over 30 years in application development, including more than 20 in the insurance industry, Sivongile has led significant projects such as the implementation of Guidewire for Claims and enterprise document management systems.

• Justin Buford, Senior Director, Product Operations: Justin has a proven track record in executing complex digital product transformations, with 16 years at GEICO, where he led digital customer acquisition and claims reporting initiatives.

• Allison Hanlon, Program Director: Allison is an experienced IT leader with a history of solving complex situations through technology and partnership, including leading claims technology integrations and modernizations at National General.

Competitor Profile

Market Insights and Dynamics

The insurance technology (InsurTech) market is experiencing rapid growth, driven by the increasing adoption of AI and machine learning to streamline operations and enhance customer experiences. The demand for efficient claims processing solutions is particularly high, as insurers seek to reduce costs and improve accuracy in claims handling.

Competitor Analysis

Precedent operates in a competitive landscape with several notable companies offering similar AI-driven solutions for claims processing:

• Carpe Data: Specializes in providing alternative data for insurance carriers, focusing on claims automation and fraud detection.

• Shift Technology: Offers AI-native solutions for fraud detection and claims automation, serving a global clientele.

• Tractable: Utilizes AI to assess vehicle damage and automate the claims process, partnering with major insurers worldwide.

• Crawford & Company: Provides claims management solutions with a focus on integrating technology to enhance efficiency and accuracy.

Strategic Collaborations and Partnerships

Precedent has established strategic partnerships to strengthen its market position and innovation capacity. Notably, the company secured $9 million in seed funding from Adir Ventures, with Barry Karfunkel of Adir joining Precedent’s Board of Directors. This collaboration is expected to accelerate the development and deployment of Precedent's AI solutions in the insurance industry.

Operational Insights

Precedent's strategic considerations include differentiating itself through proprietary AI technologies that offer precise data extraction from complex documents, thereby enhancing claims processing efficiency. The company's focus on providing solutions rather than platforms ensures seamless integration into existing insurance workflows, offering a distinct competitive advantage.

Strategic Opportunities and Future Directions

Looking ahead, Precedent aims to expand its AI capabilities to address a broader range of claims processing challenges within the insurance industry. The company is poised to leverage its technology to further streamline operations and improve data accuracy, positioning itself as a leader in the AI-driven insurance solutions market.