[May 07, 2018]

A.M. BestTV: Effective Use of Analytics Separates Insurers and Restrains Cycles, Say A.M. Best Analysts

In this ^A.M.BestTV episode, Michael Lagomarsino, senior director, and David Blades, senior industry research analyst, A.M. Best, said predictive analytics made its early impact in the automobile insurance sector and has since expanded into other areas, including a growing range of commercial lines. Click on http://www.ambest.com/v.asp?v=predictiveanalytics418 to view the entire program.

Lagomarsino highlighted the effect that predictive analytics has had on commercial lines underwriting.

"The greater utilization of data analytics and the quicker visibility in changes in market dynamics have had a positive impact on the overall magnitude of the commercial lines underwriting cycle," said Lagomarsino. "Although A.M. Best anticipates that the continuation of analytics and data will have a positive influence on the duration and magnitude of future underwriting cycles, we do not foresee a point in time where the cycle is dead and does not exist. … Companies that fail to keep up with changing technology and the use of data are at risk of being affected adversely."

Going forward, Blades said he believes predictive analytics will be a key differentiator among commercial lines insurers.

"The ones that are more nimble in using predictive analytics, and harness data and analytics to make quicker decisions to get them to the marketplace quicker, will be the ones that are probably going to be more successful. Harnessing information and making it consumable within an organization will enable those companies to be truly at the top end of the market," said Blades.

To access a copy of this special report, titled, "Predictive Analytics Aids Performance, Balances Underwriting Cycles for Commercial Lines Insurers," please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=272252.

Recent episodes of ^A.M.BestTV include:

• Philly I-Day: Insurers Are 'Financial First Responders': Insurance professionals attending Philly I-Day discuss the role of the insurance industry in the U.S. economy and how it drives economic growth through investments and financial protection products: http://www.ambest.com/v.asp?v=phillyiday418.
• Pension and Annuity Focus Supports Stable Outlook for U.K. Life Sector, Says A.M. Best Associate Director: Tony Silverman, associate director, A.M. Best, said U.K. life insurers benefit from strong economic conditions, but face issues of limited product range, regulatory uncertainty and possible investment risk ahead: http://www.ambest.com/v.asp?v=uklife518.
• Lebanon Insurers Struggle With Fragmented Market, Says A.M. Best Senior Analyst: Alex Rafferty, senior financial analyst, A.M. Best, reviews the issues shaping the insurance market in Lebanon, including how some insurers operate outside control of the insurance regulator: http://www.ambest.com/v.asp?v=lebanon518.
• Pre-, Post-Loss Services Key Elements of Cyber Products, Says Cyber Panel: A panel of cyber-risk experts discuss where insurers are in using data to create and price cyber products, and say that clients care about much more than financial indemnity: http://www.ambest.com/v.asp?v=moro4418.

^A.M.BestTV covers exclusive A.M. Best information and reports, targeted topics and key developments in the (re)insurance industry every Monday, Wednesday and Friday. Sign up for alerts of episodes at http://www.ambest.com/multimedia/ambtvsignup.html. View ^A.M.BestTV episodes at http://www.ambest.tv.

A.M. Best is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2018 by A.M. Best Company, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

View source version on businesswire.com: https://www.businesswire.com/news/home/20180507005916/en/

[ Back To TMCnet.com's Homepage ]