Farm Mutual Re Integration with Modular Solutions

Farm Mutual Re Flood Risk Integration with Modular Solutions

Farm Mutual Re Flood Risk Evaluation

Farm Mutual Re is a Canadian reinsurance organization that provides reinsurance and risk services to mutual insurance companies across Canada. Through the Modular Solutions integration, Farm Mutual Re’s flood risk model is used to evaluate the flood exposure of Canadian residential properties at the point of underwriting or analysis. The model returns a flood exposure classification based on the property’s geographic location, coverage limits, and construction characteristics. This classification feeds directly into underwriting workflows within Modular Solutions, informing coverage decisions, pricing, and eligibility determinations for the water peril.

Key Features of the Farm Mutual Re Flood Risk Evaluation Integration

Property-Level Flood Exposure Classification

Farm Mutual Re’s flood model evaluates each property individually and returns a standardized exposure classification: Low, Medium, High, or Unknown. Each result is tied to the specific property evaluated, giving underwriters a clear, consistent risk signal at the individual record level.

Location and Structure-Based Assessment

The flood model incorporates the property’s geographic coordinates, postal code, construction type, and number of storeys alongside coverage limits to evaluate flood exposure. This multi-factor approach produces a risk result grounded in both location and property characteristics.

Portfolio-Level Flood Analysis

Multiple properties can be evaluated in a single request, allowing underwriting teams and portfolio analysts to assess flood exposure across a group of properties at once — without submitting individual requests for each location.

Automated Integration via Water Peril Service

The Farm Mutual Re flood model is accessed through Modular Solutions’ Water Peril service, which acts as a controlled gateway. Data formatting, API communication, authentication, and response translation are all handled by the Water Peril service, so the flood evaluation process is fully automated from the underwriting workflow.

Secure Authentication

API authentication is managed automatically using a Bearer token stored in Azure Key Vault. Credentials are never exposed to other services, and tokens are cached to minimize repeated credential lookups.

Modular Solutions Integration with Farm Mutual Re

Underwriting flood risk manually through relying on adjuster judgment, external lookups, or general geographic assumptions, introduces inconsistency and creates gaps in exposure visibility, particularly at scale or during high-volume quoting periods. The Modular Solutions integration with Farm Mutual Re addresses this by embedding automated flood exposure assessment directly into the underwriting workflow. When a property is evaluated, the platform queries Farm Mutual Re’s flood model in real time and returns a risk classification that feeds directly into coverage rules, pricing logic, and workflow routing without requiring the underwriter to consult any external source.

Flood Risk Underwriting for Canadian Property Insurance with Farm Mutual Re

For Canadian property insurers, mutual companies, and MGAs writing residential property risks, flood is a peril that demands objective, data-driven evaluation at the point of underwriting. Manual flood risk assessment is inconsistent and difficult to scale — and as flood frequency and severity increase, the consequences of underestimating exposure at the individual property level grow more significant. Farm Mutual Re’s flood model provides a standardized, model-driven flood exposure classification purpose-built for Canadian residential property, supporting more consistent underwriting decisions across the book and giving teams a reliable basis for coverage and pricing determinations on the water peril.

How Integration Works Between Modular Solutions & Farm Mutual Re

Property is submitted for underwriting or analysis. For portfolio evaluations, multiple properties can be assessed in a single request, with each property receiving a matched flood exposure result.
Data is sent: the property’s location, coverage limits, and construction details are sent from Modular Solutions to Farm Mutual Re’s flood model via secure API.
Property’s flood exposure is evaluated: Farm Mutual Re evaluates the property’s flood exposure and returns a classification result, along with any validation or processing issues if necessary.
Result is delivered back to the platform: the water peril level is stored on the relevant risk/property: low, medium, and high (the most likely to trigger underwriting attention), unknown (could not be classified or input was insufficient), or no response.
Underwriting workflow automates the next actions: if underwriting logic is configured, the platform applies the appropriate rules: allowing coverage, flagging the risk for review, adjusting pricing, or restricting availability based on the exposure level returned.

Benefit & Value of the Farm Mutual Re Integration with Modular Solutions

Automated flood exposure classification at underwriting: Every eligible Canadian residential property is evaluated against Farm Mutual Re’s flood model automatically, without requiring manual lookups or external tools.

Standardized risk results: The model returns a clear Low, Medium, High, or Unknown classification for each property, giving underwriters a consistent, objective flood risk signal at the record level.

Multi-factor property assessment: The evaluation incorporates property location, postal code, construction type, storeys, and coverage limits, producing a risk result grounded in both geographic and structural data.

Underwriting rule integration: Flood exposure results feed directly into platform underwriting rules, driving coverage eligibility decisions, pricing adjustments, and review flags based on the classification returned.

Portfolio flood analysis: Multiple properties can be assessed in a single request, supporting portfolio-level flood exposure review without individual record-by-record submissions.

Fully automated via Water Peril service: All data transformation, API communication, authentication, and response handling are managed by the Water Peril service; the flood evaluation is transparent to the end user.

Consistent flood decisions across the book: Automated, model-driven assessment reduces reliance on individual judgment for flood risk, supporting more uniform underwriting outcomes across the residential property portfolio.

Frequently Asked Questions About Farm Mutual Re Integration with Modular Solutions

What does the Farm Mutual Re integration do within Modular Solutions?

The integration provides automated flood exposure assessment for Canadian residential properties during underwriting and analysis. When a property is evaluated, Modular Solutions sends the property’s location, coverage limits, and construction details to Farm Mutual Re’s flood model via the Water Peril service. The model returns a flood exposure classification — Low, Medium, High, or Unknown — which the platform uses to inform coverage eligibility, pricing, and underwriting decisions.

What flood exposure classifications does Farm Mutual Re return?

Farm Mutual Re returns one of four classifications: Low (minimal flood exposure), Medium (moderate exposure, may require review), High (significant exposure, coverage or pricing restrictions possible), or Unknown (the model could not determine risk due to a data or geographic issue).

What property data is required for the flood evaluation?

The evaluation requires the property’s latitude and longitude, postal code, building coverage amount, contents coverage amount, additional living expense coverage amount, construction type, and number of storeys. Coverage limits must total more than $0 for the model to return a result.

What types of properties are supported?

The integration supports Canadian residential properties located within the geographic bounds of Farm Mutual Re’s flood model. Properties outside supported Canadian geographic bounds will return an Unknown classification.

How does the flood exposure result affect underwriting in Modular Solutions?

The flood exposure classification feeds into the platform’s underwriting rules and rating. Depending on the result and the rules configured, the platform may allow coverage to proceed, flag the risk for underwriting review, apply pricing adjustments, or restrict coverage availability for the water peril. The classification is a model-based risk input — the final underwriting decision is governed by the rules applied within Modular Solutions.

Want to learn more?

Learn more about the Farm Mutual Re Flood Risk Integration