Agent-based negotiation in cooperative processes: automatic support to underwriting insurance policies

  • Authors:
  • Marco Comuzzi;Chiara Francalanci

  • Affiliations:
  • Politecnico di Milano, Milano, Italy;Politecnico di Milano, Milano, Italy

  • Venue:
  • ICEC '04 Proceedings of the 6th international conference on Electronic commerce
  • Year:
  • 2004

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Abstract

In a cooperative context, negotiation represents the process that allows organizations to create a base of common knowledge. Organizations have at the same time shared and divergent objectives and, thus, negotiating the characteristics of a common knowledge base cannot be fully cooperative, but inevitably raises competitive behaviours. The coopetition paradigm has been introduced in the literature to model relationships between companies that are simultaneously cooperative and competitive. The academic research has proposed several solutions for automated negotiation. A common characteristic of the protocols and algorithms that have been previously proposed is that they study negotiation only from a transactional and competitive point of view. This paper provides a model of the coopetitive negotiation process leading to underwriting a business insurance policy. Negotiation is modeled as an iterative question and answer process through which the parties create a common knowledge base of client's requirements and supplier's quality of service. This common knowledge defines the characteristics of the insurance policy and, hence, of the cooperative process that will follow the underwriting of the policy. The model has been implemented as an agent-based negotiation environment and analyzed through simulation.