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Data mining can be defined as the process of selecting, exploring and modeling large amounts of data to uncover previously unknown patterns. In the insurance industry, data mining can help firms gain business advantage. For example, by applying data mining techniques, companies can fully exploit data about customers' buying patterns and behavior - as well as gaining a greater understanding of their business to help reduce fraud, improve underwriting and enhance risk management. This paper discusses how insurance companies can benefit by using modern data mining methodologies and thereby reduce costs, increase profits, acquire new customers, retain current customers and develop new products.

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Format:PDFSize:779 KB
Date:Mar 2009
Pages:22

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