We outline the market outlook for insurance-specific predictive analytics in life insurance — from investment trends, to leading companies, to recommendations for players in the space.
What is predictive analytics?
Predictive analytics uses statistical modeling and artificial intelligence methods to complement the actuarial approach, offering a more forward-looking view to underwriting. This technology analyzes internal and external data sources to identify patterns and connections that are not discoverable by human cognition alone. These insights are used to establish the likelihood of different outcomes.
These solutions are built specifically for insurance underwriting functions like pricing and producing risk scores.
Features & capabilities
Typical features offered within predictive analytics include:
- Pre-built actuarial and underwriting models
- No-code/low-code functionality
- Customizable machine learning models
- External dataset connections
- Dashboard and business intelligence tools
At a high level, these solutions predict future outcomes using historical data to identify risks and opportunities for life insurance underwriters.