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Predictive Modeling

Predictive Modeling

A Life Underwriter's Primer

Predictive Modeling Individual 1

Use of predictive models is becoming more common throughout the business landscape. Underwriters need to understand the basic concepts as these models impact pricing, marketing and underwriting of life insurance products. 

This primer introduces and describes predictive modeling, the development of predictive models, types of models, advantages and disadvantages of such models, and closes with a glossary of terms commonly encountered when discussing models with other  professionals in your organization. The article also addresses the distinction between predictive modeling and lifestyle-based analytics.

This primer does not explore the statistical modeling mathematics in detail. Nor does it represent an endorsement for, or an argument against, any implementation or use of predictive modeling.


Reprinted with permission of ON THE RISK, Journal of the Academy of Life Underwriting (www.ontherisk.com).
 

Download "Predictive Modeling - A Life Underwriter's Primer"

The Author

  • Mark S. Dion
    FALU, FLMI
    Vice President
    Strategic Underwriting Innovation

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Summary

This primer describes how predictive models impact pricing, marketing and underwriting of life insurance products. 
Download "Predictive Modeling - A Life Underwriter's Primer"
  • predictive modeling
  • big data
  • analytics
  • actuarial