RISK QUANTIFICATION FOR INSURANCE PROCESS MANAGEMENT EMPLOYING AN ADVANCED DECISION PLATFORM
A system for insurance process management employing an advanced decision platform has been developed. A high speed data retrieval and storage module retrieves insurance related data from a plurality of sources. A predictive analytics module performs predictive analytics functions on normalized insurance related data. A predictive simulation module performs predictive simulation functions on normalized insurance related data. An interactive display module displays results of activity of the predictive analytics module and the predictive simulation module as pre-programmed by analysts of an investigation, and re-display results in ways differing by additional representation programming instructions over the course of a viewing session.
1 . A system for risk quantification for insurance process management employing an advanced cyber-decision platform comprising:
a high-speed data retrieval and storage module stored in a memory of and operating on a processor of a computing device and configured to:
retrieve a plurality of insurance contract underwriting terms pertaining to a physical asset;
identify a plurality of risks associated with the physical asset based on the plurality of underwriting terms;
identify a magnitude of each of the plurality of identified risks associated with the physical asset; and
identify an upcoming risk event in the geographical location of the physical asset;
a predictive analytics module stored in a memory of and operating on a processor of a computing device and configured to:
generate a vulnerability model that relates the insurance contract underwriting terms and the magnitude of the plurality of risks to determine a risk response of the physical assets to the plurality of risks; and
apply the upcoming risk event to the determined risk response to predict a loss associated with the physical asset; and
a predictive simulation module stored in a memory of and operating on a processor of a computing device and configured to:
generate a blended exposures and losses model configured to analyze concentration of losses in terms of time and location;
generate synthetic data based on the magnitude of each of the plurality of risks and the predicted loss associated with the physical asset; and
pass the synthetic data through the blended exposures and losses model to determine a concentrated risk of loss associated with a plurality of assets of the same type as the physical asset.
2 . The system of claim 1 , wherein at least one of the predictive simulation algorithms performs historical simulations based on actual loss data.
3 . The system of claim 2 , wherein at least one of the plurality of risks is geo-political conditions at one or more sites of client business operation.
4 . A method for risk quantification for insurance process management employing an advanced cyber-decision platform, the method comprising the steps of:
(a) retrieving a plurality of insurance contract underwriting terms pertaining to a physical asset;
(b) identifying a plurality of risks associated with the physical asset based on the plurality of underwriting terms;
(c) identifying a magnitude of each of the plurality of identified risks associated with the physical asset;
(d) identifying an upcoming risk event in the geographical location of the physical asset;
(e) generating a vulnerability model that relates the insurance contract underwriting terms and the magnitude of the plurality of risks to determine a risk response of the physical assets to the plurality of risks;
(f) applying the upcoming risk event to the determined risk response to predict a loss associated with the physical asset;
(g) generating a blended exposures and losses model configured to analyze concentration of losses in terms of time and location;
(h) generating synthetic data based on the magnitude of each of the plurality of risks and the predicted loss associated with the physical asset; and
(i) passing the synthetic data through the blended exposures and losses model to determine a concentrated risk of loss associated with a plurality of assets of the same type as the physical asset.
5 . The method of claim 4 , wherein at least one of the predictive simulation algorithms performs historical simulations based on actual loss data.
6 . The method of claim 5 , wherein at least one of the plurality of risks is geo-political conditions at one or more sites of client business operation.