Predictive analytics (PA) or modeling

{
  "id": "MLC-T-INS-002625",
  "term": "Predictive analytics (PA) or modeling",
  "field": "Insurance and risk management",
  "definition": "The use of statistical algorithms and machine learning techniques to analyze historical and current data to forecast future events or behaviors. Insurers apply predictive analytics (PA) to vast datasets for underwriting, pricing, claims processing, and fraud detection. For instance, a model might analyze driving behavior data from telematics devices to predict an individual's likelihood of filing an auto claim, influencing their premium.",
  "url": "https://mlchart.com/terminology/insurance/predictive-analytics-pa-or-modeling/"
}