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The article spends many paragraphs on the complexities of the B2B and B2C players in insurance, their distribution channels, and how they get paid. It spends on
by osullivj 9y ago
The article spends many paragraphs on the complexities of the B2B and B2C players in insurance, their distribution channels, and how they get paid. It spends one sentence on noting how the pricing of risk is based on actuarial models, and then moves on. The pricing of risk is absolutely key to the entire industry, and it is stone age! It's all done in spreadsheets.
- SmellTheGlove 9y ago> The article spends many paragraphs on the complexities of the B2B and B2C players in insurance, their distribution channels, and how they get paid. The article is primarily focused on commercial lines - primarily P&C, but there are similarities in A&H. The distribution stack is complex and is a natural starting point to start looking at opportunities. The general tech community probably isn't going to look at risk pricing and the ancillary services associated with that - there's a whole discipline built around it and I don't know how many in YC's catchment would be FSA/ASAs or excited by that particular aspect. Plus, for traditional products in P&C and the Disability side of A&H, the industry is pretty good at pricing the risk. Nobody's squeezing growth from their underwriting ratio, they're doing it through products and distribution. Anyhow, not trying to give you a hard time, just another angle. > It's all done in spreadsheets. No it isn't!
- x0x0 9y agoNot everywhere. At a previous employer, I sold ML tools to State Farm. They were very heavy users of SAS and R.