Predictive Analytics Making Inroads Outside of Underwriting

Workers’ compensation has taken the lead among commercial insurance lines in the use of predictive analytics, according to a new report, and data analysis has been a factor in the flattening out of cyclical swings in underwriting results, the researchers say. The report (login required), released last week by A.M. Best, cited survey results showing that 43% of commercial lines insurers use predictive analytics for pricing and risk selection. That was followed by claim triage, case reserving and determining fraud potential, used by 12% to 15% of respondents. And about 6% of respond...