Product Pricing and Actuarial Analysis

Ensure success through more effective pricing

Multiple factors go into determining insurance premium rates, and as competition increases, insurers are using actuarial analysis to introduce new, innovative rate structures. The critical question in ratemaking is, "What risk factors or variables are important for predicting the likelihood, frequency and severity of a loss?" Traditional univariate analysis methods are outdated, and insurers have turned to multivariate statistical techniques, such as generalized linear modeling, to understand the relationships between multiple risk variables.

" SAS has speed, sophistication and power."

—Ned Wilson

Vice President, Treasury and Planning

FCCI Insurance Group

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How SAS^® Can Help

The key to gaining an edge in today's competitive market is the ability to quickly and efficiently explore, understand and act on the data in order to improve pricing competitiveness. With SAS, you can:

Enhance information credibility by integrating disparate data sources.
Increase rating granularity by using multivariate statistical techniques.
Quickly implement new rate changes.
Create geographical exposure reports.

How SAS^® Is Different

No other vendor provides a comprehensive framework of capabilities – from data management to advanced statistical analytics – to help insurers accurately price their products and remain competitive in the aggressive insurance industry. SAS delivers:

Superior data integration capabilities.
The most powerful predictive analytics available.
An integrated environment for tracking and monitoring model performance.

Related Products and Solutions

SAS^® Enterprise Miner™

SAS^® Enterprise Miner™

SAS Enterprise Miner streamlines the data mining process to create highly accurate predictive and descriptive models based on large volumes of data from across the enterprise. It offers a rich, easy-to-use set of integrated capabilities for creating and sharing insights that can be used to drive better decisions. Forward-thinking organizations today are using SAS data mining software to detect fraud, minimize risk, anticipate resource demands, increase response rates for marketing campaigns and curb customer attrition.