Systems and methods for optimizing property risk ratings

A system for establishing insurance premiums, the system comprising:

• a storage storing loss costs for a plurality of perils;
• a processor executing instructions to perform a method comprising:
• creating a plurality of peril zones for each of the plurality of perils based on magnitudes of the loss costs for each peril, wherein the magnitudes of the loss costs for one of the plurality of perils within one of the plurality of peril zones are roughly equivalent;
• combining the plurality of peril zones for the plurality of perils to create a plurality of all-peril zones, each of the all-peril zones being an overlapping intersection of one of the plurality of peril zones from each of the plurality of perils;
• and
• setting insurance premiums for the plurality of all-peril zones.

A computer readable storage medium storing instructions executable by a processor for performing a method for establishing insurance premiums, the method comprising:

• creating a plurality of peril zones for each of a plurality of perils based on magnitudes of loss costs for each peril, wherein the magnitudes of the loss costs for one of the plurality of perils within one of the plurality of peril zones are roughly equivalent;
• combining the plurality of peril zones for the plurality of perils to create a plurality of all-peril zones, each of the all-peril zones being an overlapping intersection of one of the plurality of peril zones from each of the plurality of perils;
• and
• setting insurance premiums for the plurality of all-peril zones.