CASE STUDY

Loss reserve analytics reduces credit risk for insurance and financial protection services provider

Sep 22, 2016

Business Challenge 

Optimizing loss reserves to reduce credit risks

A financial protection and insurance products provider wanted to simplify its loss reserves setting process to ensure optimum reserves for various offerings and reduce credit risks.

Situation

Non synchronized data hindering reserve determination

The client offered a wide variety of insurance offerings including individual and corporate insurance, long-term care insurance, annuities, and banking products. The client’s insurance specific data was unorganized and non-synchronized, resulting in difficulties to determine and set loss reserves for its transactions. Client wanted a solution for simplification of loss reserve process based on all transactional data.

Loss reserve analytics, predictive modeling and forecasting

Get in touch with our experts to know more about advanced analytics.

Solution/Approach

We used loss reserve analysis and forecast to align all of the client’s historical transactions  on a single platform, and evaluate the loss exposure. We analyzed the collated data to determine the reserve allocations and retention values for various products. We also used reserve analytics for loss predictions and to determine optimal pricing to minimize credit risks.

Impact

Better loan risk management with availability of loss reserve

The client utilized our single platform based loss reserve forecasting solution to ensure the availability of adequate reserves to absorb losses due to default. The client also improved its loss reserve amount auditing and implemented real-time monitoring, which helped ensure better lending decisions.

Recent Case Studies

Use Cases of Big Data Analytics in Telecom Industry 

Use Cases of Big Data Analytics in Telecom Industry 

Overview of the Telecom Industry:  If you’re ever worked in the telecom industry then you already know the role the telecom companies are playing in facilitating the transfer of information and communication across the globe. While focusing on the role of big...

read more

Industries

Our advanced analytics expertise spans across industries, sectors, and functions, which enables us to deliver robust, agile solutions to all our clients. These are our core competencies, formed through years of experience.

Insights

Our free resources shed light on our extensive expertise and equip you with information to accelerate decision-making, growth, and innovation.

Talk to us
Talk to us