Close
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Applications
    • Applications

    Predictive Analytics on the Rise in Insurance Industry: Survey

    Written by

    Darryl K. Taft
    Published October 11, 2012
    Share
    Facebook
    Twitter
    Linkedin

      eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More.

      Insurance providers are increasingly interested in data or analytics solutions to help manage producers and improve their performance, according to a recent survey.

      Trilogy Insurance & Financial Services partnered with Insurance Networking News to survey more than 100 insurance industry professionals on the current state of predictive analytics in the insurance sector. According to the research findings, insurance providers have made investments in analytics tools over the year but are just beginning to realize the significance of technology to help manage provider performance.

      The top three benefits of insurance companies’ current data and analytics solutions are customer segmentation, improving the competitive advantage of insurance carriers and retaining existing insurance customers.

      The survey findings show that Insurers recognize the value of predictive analytics solutions to help producers improve their performance. Insurance producers are also known as agents or brokers. Insurers are highly interested in producer management solutions, and 57 percent of respondents without a current producer management solution are interested in acquiring one, according to the survey.

      Moreover, an overwhelming majority of insurance companies—82 percent—said they believe that being “easy to do business with” is the most important priority in managing producers. However, far fewer insurance providers believe they are doing an effective job in this. And insurance companies realize the value of new products and technology to run their business, improve service performance and reduce costs, but at no point do insurers feel that they are fully effective in managing agents, brokers and distributors against the top priorities, the survey showed.

      “Predictive analytics are essential to driving better producer performance, and insurance companies are beginning to recognize the value and benefits of applying technology to this critical area of their business,” said Joe Kelley, president of Trilogy Insurance & Financial Services, in a statement. “Trilogy was pleased to partner with Insurance Networking News in conducting this research. It underscores the need for advanced analytics solutions such as Trilogy SmartChannel, which helps insurers improve the productivity and profitability of their distribution channel.”

      Trilogy’s SmartChannel analytics are powered by more than 1 billion industry data points spanning more than 10 years and dozens of carriers, the company said. This data benchmarks the performance of a carrier, compared with the industry norm and provides insight into how the carrier’s distribution channels should be performing, down to the individual producer. SmartChannel not only monitors, classifies and benchmarks producer performance, but also provides action plans to help maximize each producer’s productivity.

      Of the 109 people surveyed, 53 percent were from property and casualty insurance carriers, 32 percent from life insurance carriers, 28 percent from medical insurance carriers and 15 percent from multi-line insurance carriers.

      Vast opportunities exist for predictive analytics across the producer management spectrum, Trilogy officials said. While business-related analytics are currently being used by insurers for customer segmentation, competitive comparisons and customer retention, access to predictive analytics for producers is required to drive smarter distribution for insurers, the company said. The slow adoption of predictive analytics solutions for producer management is not surprising, but the newfound recognition of the value and benefits is soon to spark action across the industry.

      Meanwhile, survey respondents not interested in a predictive analytics solution for their producers primarily cited budgetary reasons. Of those companies that do not currently have a predictive analytics solution for producers, more than half are interested in predictive analytics solutions that will help them identify high- and low-performing producers, provide industry-wide benchmarking and offer recommendations about how to improve producer performance. However, of those interested in producer-related analytics, 37 percent do not have enough insight on their producers and 32 percent struggle to acquire effective producers, according to the survey.

      Darryl K. Taft
      Darryl K. Taft
      Darryl K. Taft covers the development tools and developer-related issues beat from his office in Baltimore. He has more than 10 years of experience in the business and is always looking for the next scoop. Taft is a member of the Association for Computing Machinery (ACM) and was named 'one of the most active middleware reporters in the world' by The Middleware Co. He also has his own card in the 'Who's Who in Enterprise Java' deck.

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      MOST POPULAR ARTICLES

      Artificial Intelligence

      9 Best AI 3D Generators You Need...

      Sam Rinko - June 25, 2024 0
      AI 3D Generators are powerful tools for many different industries. Discover the best AI 3D Generators, and learn which is best for your specific use case.
      Read more
      Cloud

      RingCentral Expands Its Collaboration Platform

      Zeus Kerravala - November 22, 2023 0
      RingCentral adds AI-enabled contact center and hybrid event products to its suite of collaboration services.
      Read more
      Artificial Intelligence

      8 Best AI Data Analytics Software &...

      Aminu Abdullahi - January 18, 2024 0
      Learn the top AI data analytics software to use. Compare AI data analytics solutions & features to make the best choice for your business.
      Read more
      Latest News

      Zeus Kerravala on Networking: Multicloud, 5G, and...

      James Maguire - December 16, 2022 0
      I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
      Read more
      Video

      Datadog President Amit Agarwal on Trends in...

      James Maguire - November 11, 2022 0
      I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2024 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×