Predictive analytics can help insurance companies design their strategies for marketing and pricing as well as streamline processes, such as underwriting, claims, and reserves.
The insurance business deals with covering risks through monetary premiums. Actuaries are responsible for setting the right price for insurance policies and methods have evolved over the last few centuries. Historically, statistical methods were involved, and each insurer developed their models for assessing and hedging risks.
Author: Maria Weinberger