AIC 300 - Section 5 Data

What is claims data

Information collected during a claim, including loss details, payments, reserves, injuries, litigation, and cause of loss.

What is data mining

Analyzing large amounts of data to find patterns and trends.

What is predictive analytics

Using historical data to predict future outcomes.

What is business intelligence (BI)

Tools and methods that turn data into useful information for decisions.

What is a dashboard

A visual display of important data, metrics, and trends.

What is a KPI

Key Performance Indicator; a measure used to evaluate performance.

Name three common claims KPIs.

Cycle time, Closure rate, Litigation rate

What is a red flag

An indicator of possible fraud or unusual activity.

What is fraud detection analytics

Using data to identify potentially fraudulent claims.

What is an outlier

A claim or pattern that differs significantly from normal results.

What is telematics

Technology that automatically collects and transmits vehicle data.

What type of information can telematics provide

Speed, Braking, Location, Mileage

What is the Internet of Things (IoT)

Devices that automatically collect and share data.

Give three examples of IoT devices.

Water sensors, Smart thermostats, Vehicle sensors

What is artificial intelligence (AI)

Technology that performs tasks requiring human-like intelligence.

What is machine learning

AI that improves as it processes more data.

What is trend analysis

Looking at data over time to identify patterns.

What is benchmarking

Comparing performance against a standard or peer group.

What is root cause analysis

Determining the underlying reason a loss occurred.

Frequency vs. Severity

Frequency = How many losses, Severity = How costly are the losses

What is claim frequency

What is claim severity

How costly losses are.

What is loss ratio

Claims costs divided by premium.

High loss ratio means what

Claims costs are consuming a larger portion of premium.

What is cycle time

The average time needed to close a claim.

What is blockchain

A secure digital record that is difficult to alter.

Which technologies COLLECT data

Telematics, IoT

Which technologies ANALYZE data

Data mining, Predictive analytics, Machine learning

Which tools DISPLAY data

Dashboards, Business Intelligence (BI)

Which tools MEASURE performance

KPIs, Benchmarking

Which tools IDENTIFY or DETECT risk or fraud

Fraud analytics, Outlier analysis, Red flags