In the aftermath of the George Floyd-era racial justice reckoning, a number of corporate organizations and VC firms pledged to make diversity a top priority. However, much of what was promised in venture capital has been rolled back amid sweepingover the last two years. LOOP, the car insurance company delivering fair and equitable rates that are reinvested in its service communities, is keeping its promises and revolutionizing its industry as a result.
“You let the math show you the truth and the reality is that people living in very specific neighborhoods are at no greater risk than others, but they have that layered on disadvantage of being more expensive,” she stated. Using AI and machine learning to eliminate the use of redlining and credit scores as rate-determining factors, LOOP is helping to provide financial security in historically undermined and underserved communities.Nadeau is a statistician by trade.
The company’s intellectual property is staked on an ML algorithm that predicts where car crashes are likely to happen and when, ahead of the incident. This data allows for more fair underwriting practices and creates a store of information that can be utilized in the near future for predicting relative outcomes. This process, along with LOOP’s commitment to customer care, a fundamental pillar in the business model, gives them an advantage in acquisitions.
“The social justice movement needs people from all different disciplines and from all different backgrounds to stand behind the right cause, the right thing to do,” Nadeau proposed. She agrees that this is the work that many women leaders are more recently undertaking as the enduring push for civil rights and equity continues.