Class_1

Insurance Industry and Opportunities for Analytics

History of Insurance

Insurance industry is very old and is one of the first industries to use data and statistics (apart from Gambling :))

• History of Insurance - Ancient, Medeival and Modern
• Risk aggregation and ReInsurance
• Complications with modern insurance - Compliance and Profit motive

library(XML)

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library(RCurl)

## Loading required package: bitops

htmlToText <- function(input, ...) {
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  require(RCurl)
  require(XML)
  
  
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  # Determine how to grab html for a single input element
  evaluate_input <- function(input) {    
    # if input is a .html file
    if(file.exists(input)) {
      char.vec <- readLines(input, warn = FALSE)
      return(paste(char.vec, collapse = ""))
    }
    
    # if input is html text
    if(grepl("</html>", input, fixed = TRUE)) return(input)
    
    # if input is a URL, probably should use a regex here instead?
    if(!grepl(" ", input)) {
      # downolad SSL certificate in case of https problem
      if(!file.exists("cacert.perm")) download.file(url="http://curl.haxx.se/ca/cacert.pem", destfile="cacert.perm")
      return(getURL(input, followlocation = TRUE, cainfo = "cacert.perm"))
    }
    
    # return NULL if none of the conditions above apply
    return(NULL)
  }
  
  # convert HTML to plain text
  convert_html_to_text <- function(html) {
    doc <- htmlParse(html, asText = TRUE)
    text <- xpathSApply(doc, "//text()[not(ancestor::script)][not(ancestor::style)][not(ancestor::noscript)][not(ancestor::form)]", xmlValue)
    return(text)
  }
  
  # format text vector into one character string
  collapse_text <- function(txt) {
    return(paste(txt, collapse = " "))
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  # STEP 1: Evaluate input
  html.list <- lapply(input, evaluate_input)
  
  # STEP 2: Extract text from HTML
  text.list <- lapply(html.list, convert_html_to_text)
  
  # STEP 3: Return text
  text.vector <- sapply(text.list, collapse_text)
  return(text.vector)
}

inputHTML <- 'https://en.wikipedia.org/wiki/History_of_insurance'
text <- htmlToText(inputHTML)

text

## [1] "History of insurance - Wikipedia \t\t \n\t\t \n\t\t \n\t\t\t \n\n\t\t\t\t\t\t\t \n\t\t\t\t\t\t \n \n\t\t\t History of insurance \n\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t From Wikipedia, the free encyclopedia \n\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\tJump to:\t\t\t\t\t navigation , \t\t\t\t\t search \n\t\t\t\t \n\t\t\t\t \n A series on  Economic history : \n History of finance \n History of banking \n \n List of oldest banks \n History of credit unions \n History of private equity \n \n Bubbles and Crashes \n \n Tulip mania \n Stock market bubble \n South Sea Bubble \n Panic of 1837 \n Wall Street Crash of 1929 \n Financial crisis of 2007–2010 \n \n History of insurance \n History of accounting \n \n \n v \n t \n e \n \n \n The  history of insurance  consisted of the development of the modern business of  insurance  against risks, especially regarding  cargo ,  property ,  death ,  automobile accidents , and  medical treatment . \n The industry helps to eliminate risks (as when fire insurance companies demand the implementation of safe practices and the installation of  hydrants ), spreads risks from the individual to the larger community, and provides an important source of long-term finance for both the public and private sectors. The insurance industry is generally profitable and provides attractive employment opportunities for  white collar workers . \n \n \n \n Contents \n \n 1   Ancient world \n 2   Medieval era \n 3   Modern insurance \n 3.1   Property insurance \n 3.2   Business insurance \n 3.3   Life insurance \n 3.4   Accident insurance \n 3.5   National insurance \n \n 4   Notes \n 5   References \n \n \n Ancient world [ edit ] \n In some sense, we can say that insurance dates back to early human society. We know of two types of economies in human societies: natural or non-monetary economies (using  barter  and  trade  with no centralized nor standardized set of financial instruments) and monetary economies (with  markets ,  currency , financial instruments and so on). Insurance in the former case entails agreements of mutual aid. If one family's house gets destroyed, the neighbours are committed to help rebuild it.  Granaries  embodied another early form of insurance to indemnify against famines. These types of insurance have survived to the present day in countries or areas where a modern money economy with its financial instruments is not widespread. [ citation needed ] \n The first methods of transferring or distributing risk in a monetary economy, were practised by  Chinese  and  Babylonian  traders in the  3rd  and  2nd   millennia  BC, respectively. [1]  Chinese merchants travelling treacherous river rapids would redistribute their wares across many vessels to limit the loss due to any single vessel's capsizing. The Babylonians developed a system that was recorded in the famous  Code of Hammurabi , c. 1750 BC, and practised by early  Mediterranean  sailing  merchants . If a merchant received a loan to fund his shipment, he would pay the lender an additional sum in exchange for the lender's guarantee to cancel the loan should the shipment be stolen or lost at sea. \n \n \n \n \nMerchants have sought methods to minimize risks since early times. Pictured,  Governors of the Wine Merchant's Guild  by  Ferdinand Bol , c. 1680. \n \n \n Achaemenian  monarchs in  Ancient Persia  were presented with annual gifts from the various ethnic groups under their control. This would function as an early form of political insurance, and officially bound the Persian monarch to protect the group from harm. [2] \n At some point in the 1st millennium BC, the inhabitants of  Rhodes  created the ' general average '. This allowed groups of merchants to pay to insure their goods being shipped together. The collected premiums would be used to reimburse any merchant whose goods were jettisoned during transport, whether to storm or sinkage. [3] \n The  ancient Athenian  \"maritime loan\" advanced money for voyages with repayment being cancelled if the ship was lost. In the 4th century BC, rates for the loans differed according to safe or dangerous times of year, implying an intuitive pricing of risk with an effect similar to insurance. [4] \n The  Greeks  and  Romans  introduced the origins of health and life insurance c. 600 BC when they created guilds called \"benevolent societies\", which cared for the families of deceased members, as well as paying  funeral  expenses of members.  Guilds  in the  Middle Ages  served a similar purpose. The Jewish  Talmud  also deals with several aspects of insuring  goods . Before insurance was established in the late 17th century, \"friendly societies\" existed in England, in which people donated amounts of money to a general sum that could be used for emergencies. \n Medieval era [ edit ] \n Separate insurance contracts (i.e., insurance policies not bundled with loans or other kinds of contracts) were invented in  Genoa  in the 14th century, as were insurance pools backed by pledges of landed estates. The first known insurance contract dates from  Genoa  in 1347, and in the next century maritime insurance developed widely and premiums were intuitively varied with risks. [5] \n These new insurance contracts allowed insurance to be separated from investment, a separation of roles that first proved useful in  marine insurance . The first printed book on insurance was the legal treatise  On Insurance and Merchants' Bets  by  Pedro de Santarém  (Santerna), written in 1488 and published in 1552. [6] \n Modern insurance [ edit ] \n \n \n \n \nThe subscription room at  Lloyd's of London  in the early 19th century. \n \n \n Insurance became more sophisticated in  Enlightenment era   Europe , and specialized varieties developed. Some forms of insurance developed in  London  in the early decades of the 17th century. For example, the will of the English colonist  Robert Hayman  mentioned two \"policies of insurance\" taken out with the diocesan Chancellor of London, Arthur Duck. Of the value of £100 each, one related to the safe arrival of Hayman's ship in  Guyana  and the other was in regard to \"one hundred pounds assured by the said Doctor Arthur Ducke on my life\". [7] \n Property insurance [ edit ] \n Property insurance  as we know it today can be traced to the  Great Fire of London , which in 1666 devoured more than 13,000 houses. The devastating effects of the fire converted the development of insurance \"from a matter of convenience into one of urgency, a change of opinion reflected in Sir  Christopher Wren 's inclusion of a site for 'the Insurance Office' in his new plan for London in 1667\". [8]  A number of attempted fire insurance schemes came to nothing, but in 1681,  economist   Nicholas Barbon  and eleven associates established the first fire insurance company, the \"Insurance Office for Houses\", at the back of the Royal Exchange to insure brick and frame homes. Initially, 5,000 homes were insured by his Insurance Office. [9] \n \n \n \n \nAn 18th-century  fire insurance  contract. \n \n \n In the wake of this first successful venture, many similar companies were founded in the following decades. Initially, each company employed its own  fire department  to prevent and minimise the damage from conflagrations on properties insured by them. They also began to issue ' Fire insurance marks ' to their customers. These would be displayed prominently above the main door of the property and allowed the insurance company to positively identify properties that had taken out insurance with them. One such notable company was the  Hand in Hand Fire & Life Insurance Society , founded in 1696 at Tom's Coffee House in  St. Martin's Lane  in  London . [10]  It was structured as a  mutual society , and for 135 years it operated its own fire brigade and played an important part in shaping fire fighting and prevention. [10]  The  Sun Fire Office  is the earliest still existing property insurance company, dating from 1710. [11] \n This system was soon exposed as terribly flawed, as rival brigades often ignored burning buildings once they discovered that it had no insurance policy with their company. Eventually, a solution was agreed upon in which all the insurance companies would supply money and equipment to a  municipal authority  charged with stationing fire prevention assets and  firefighters  equally around the city to respond to all fires. This did not solve the problem entirely, as the brigades still tended to favour saving insured buildings to those without any insurance at all. [12] \n In  Colonial America , the first insurance company that underwrote fire insurance was formed in Charles Town (modern-day  Charleston ),  South Carolina  in 1732.  Benjamin Franklin  helped to popularize and make standard the practice of insurance, particularly  Property insurance  to spread the risk of loss from fire, in the form of  perpetual insurance . In 1752, he founded the  Philadelphia Contributionship for the Insurance of Houses from Loss by Fire . Franklin's company made contributions toward fire prevention. Not only did his company warn against certain fire hazards, it refused to insure certain buildings where the risk of fire was too great, such as all wooden houses. \n Business insurance [ edit ] \n \n \n \n \n Lloyd's Coffee House  was the first marine insurance company. \n \n \n At the same time, the first insurance schemes for the  underwriting  of  business ventures  became available. By the end of the seventeenth century, London's growing importance as a centre for trade was increasing demand for  marine insurance . In the late 1680s, Edward Lloyd opened  a coffee house  on  Tower Street  in  London . It soon became a popular haunt for ship owners, merchants, and ships' captains, and thereby a reliable source of the latest shipping news. [13] \n It became the meeting place for parties in the shipping industry wishing to insure cargoes and ships, and those willing to underwrite such ventures. These informal beginnings led to the establishment of the insurance market  Lloyd's of London  and several related shipping and insurance businesses. In 1774, long after Lloyd's death in 1713, the participating members of the insurance arrangement formed a committee and moved to the  Royal Exchange  on  Cornhill  as the  Society of Lloyd's . \n Life insurance [ edit ] \n The first  life insurance  policies were taken out in the early 18th century. The first company to offer life insurance was the  Amicable Society for a Perpetual Assurance Office , founded in London in 1706 by  William Talbot  and  Sir Thomas Allen . [14] [15]  The first plan of life insurance was that each member paid a fixed annual payment per share on from one to three shares with consideration to age of the members being twelve to fifty-five. At the end of the year a portion of the \"amicable contribution\" was divided among the wives and children of deceased members and it was in proportion to the amount of shares the heirs owned. Amicable Society started with 2000 members. [16] [17] \n \n \n \n \n Amicable Society for a Perpetual Assurance Office , established in 1706, was the first  life insurance  company in the world. \n \n \n The first  life table  was written by  Edmund Halley  in 1693, but it was only in the 1750s that the necessary mathematical and statistical tools were in place for the development of modern life insurance.  James Dodson , a  mathematician  and  actuary , tried to establish a new company that issued premiums aimed at correctly offsetting the risks of long term life assurance policies, after being refused admission to the  Amicable Life Assurance Society  because of his advanced age. He was unsuccessful in his attempts at procuring a charter from the  government  before his death in 1757. \n His disciple,  Edward Rowe Mores  was finally able to establish the  Society for Equitable Assurances on Lives and Survivorship  in 1762. It was the world's first  mutual insurer  and it pioneered age based premiums based on  mortality rate  laying \"the framework for scientific insurance practice and development\" [18]  and \"the basis of modern life assurance upon which all life assurance schemes were subsequently based\". [19] \n Mores also specified that the chief official should be called an  actuary —the earliest known reference to the position as a business concern. The first modern actuary was  William Morgan , who was appointed in 1775 and served until 1830. In 1776 the Society carried out the first actuarial valuation of liabilities and subsequently distributed the first  reversionary bonus  (1781) and  interim bonus  (1809) among its members. [18]  It also used regular valuations to balance competing interests. [18]  The Society sought to treat its members equitably and the Directors tried to ensure that the policyholders received a fair return on their respective investments. Premiums were regulated according to age, and anybody could be admitted regardless of their state of health and other circumstances. [20] \n The sale of life insurance in the U.S. began in the late 1760s. The  Presbyterian  Synods in Philadelphia and New York founded the Corporation for Relief of Poor and Distressed Widows and Children of Presbyterian Ministers in 1759; [21] Episcopalian  priests created a comparable relief fund in 1769. Between 1787 and 1837 more than two dozen life insurance companies were started, but fewer than half a dozen survived. \n Accident insurance [ edit ] \n \n \n \n \nThe Railway Passengers Assurance Company was founded in 1848 as the first company to provide  accident insurance . \n \n \n In the late 19th century, \"accident insurance\" began to become available. This operated much like modern  disability  insurance. [22] [23]  The first company to offer accident insurance was the Railway Passengers Assurance Company, formed in 1848 in England to insure against the rising number of fatalities on the nascent  railway  system. It was registered as the Universal Casualty Compensation Company to: \n ...grant assurances on the lives of persons travelling by railway and to grant, in cases, of accident not having a fatal termination, compensation to the assured for injuries received under certain conditions. \n The company was able to reach an agreement with the  railway companies , whereby basic accident insurance would be sold as a package deal along with travel  tickets  to customers. The company charged higher premiums for second and third class travel due to the higher risk of injury in the roofless  carriages . [24] [25] \n National insurance [ edit ] \n By the late 19th century, governments began to initiate national insurance programs against sickness and old age.  Germany  built on a tradition of welfare programs in Prussia and Saxony that began as early as in the 1840s. In the 1880s Chancellor  Otto von Bismarck  introduced old age pensions, accident insurance and medical care that formed the basis for Germany's  welfare state . His paternalistic programs won the support of German industry because its goals were to win the support of the working classes for the Empire and reduce the outflow of immigrants to America, where wages were higher but welfare did not exist. [26] [ page needed ] [27] [ page needed ] \n \n \n \n \nLeaflet promoting the National Insurance Act 1911 \n \n \n In Britain more extensive legislation was introduced by the  Liberal  government, led by  H. H. Asquith  and  David Lloyd George . The  1911 National Insurance Act  gave the British working classes the first contributory system of insurance against illness and unemployment. [28] \n All workers who earned under £160 a year had to pay 4 pence a week to the scheme; the employer paid 3 pence, and general taxation paid 2 pence. As a result, workers could take sick leave and be paid 10 shillings a week for the first 13 weeks and 5 shillings a week for the next 13 weeks. Workers also gained access to free treatment for tuberculosis, and the sick were eligible for treatment by a panel doctor. The National Insurance Act also provided maternity benefits. Time-limited unemployment benefit was based on  actuarial  principles and it was planned that it would be funded by a fixed amount each from workers, employers, and taxpayers. It was restricted to particular industries, cyclical/seasonal industries like construction of ships, and neither made any provision for dependants. By 1913, 2.3 million were insured under the scheme for unemployment benefit and almost 15 million insured for sickness benefit. \n This system was greatly expanded after the  Second World War  under the influence of the  Beveridge Report , to form the first modern  welfare state . [26] [29] [ page needed ] \n In the  United States , until the passage of the Social Security Act in 1935, the federal government did not mandate any form of insurance upon the nation as a whole. With the passage of the Act the new program expanded the concept and acceptance of insurance as a means to achieve individual financial security that might not otherwise be available. That expansion experienced its first boom market immediately after the Second World War with the original VA Home Loan programs that greatly expanded the idea that affordable housing for veterans was a benefit of having served. The mortgages that were underwritten by the federal government during this time included an insurance clause as a means of protecting the banks and lending institutions involved against avoidable losses. During the 1940s there was also the GI life insurance policy program that was designed to ease the burden of military losses on the civilian population and survivors. \n Notes [ edit ] \n \n ^   See, e.g.,  Vaughan, E. J. (1996).  Risk Management . New York: Wiley.  ISBN   978-0471107590 .   \n ^   \"Insurance in Ancient Iran\" . Archived from  the original  on 2008-04-04.   \n ^   \"Lex Rhodia: The Ancient Ancestor of Maritime Law - 800 BC\" . duhaime.org.   \n ^   Franklin, James (2001).  The Science of Conjecture: Evidence and Probability Before Pascal . Baltimore: Johns Hopkins University Press. p. 259.   \n ^   Franklin, James (2001).  The Science of Conjecture: Evidence and Probability Before Pascal . Baltimore: Johns Hopkins University Press. pp. 274–277.   \n ^   Franklin, James (2001).  The Science of Conjecture: Evidence and Probability Before Pascal . Baltimore: Johns Hopkins University Press. p. 277.   \n ^   \"And whereas I have left in the hands of Doctor Ducke Channcellor of London two pollicies of insurance the one of one hundred pounds for the safe arivall of our Shipp in Guiana which is in mine owne name, if we miscarry by the waie (which God forbid) I bequeath the advantage thereof to my said Cosin Thomas Muchell...whereas there is an other insurance of one hundred pounds assured by the said Doctor Arthur Ducke on my life for one yeare if I chance to die within that tyme I entreat the said doctor Ducke to make it over to the said Thomas Muchell his kinsman...\" Will of Robert Hayman, 1628:  Records of the Prerogative Court of Canterbury , Catalogue Reference PROB 11/163 \n ^   Dickson (1960): 4 \n ^   Dickson (1960): 7 \n ^  a   b   \"Hand in Hand Fire & Life Insurance Society\" .  Aviva .   \n ^   RSA Insurance Group History   Archived  September 2, 2011, at the  Wayback Machine . \n ^   \"The World's First Insurance Company\" . Retrieved  2012-12-17 .   \n ^   Palmer, Sarah (October 2007).  \"Lloyd, Edward ( c .1648–1713)\" .  Oxford Dictionary of National Biography . Oxford University Press.  doi : 10.1093/ref:odnb/16829 . Retrieved  16 February  2011 .   \n ^   Anzovin, Stephen (2000).  Famous First Facts . H. W. Wilson Company. p. 121.  ISBN   0-8242-0958-3 .  The first life insurance company known of record was founded in 1706 by the Bishop of Oxford and the financier Thomas Allen in London, England. The company, called the Amicable Society for a Perpetual Assurance Office, collected annual premiums from policyholders and paid the nominees of deceased members from a common fund.   \n ^   Amicable Society,  The charters, acts of Parliament, and by-laws of the corporation of the Amicable Society for a perpetual assurance office , Gilbert and Rivington, 1854, p. 4 \n ^   Amicable Society,  The charters, acts of Parliament, and by-laws of the corporation of the Amicable Society for a perpetual assurance office , Gilbert and Rivington, 1854 Amicable Society, article V p. 5 \n ^   Price, pp. 158–171 \n ^  a   b   c   \"Importance of the archive\" . The Actuarian Profession. 2009-06-25 . Retrieved  2014-01-24 .   \n ^   \"Today and History:The History of Equitable Life\" . 2009-06-26. Archived from  the original  on 2009-06-29 . Retrieved  2009-08-16 .   \n ^   Lord Penrose (2004-03-08).  \"Chapter 1 The Equitable Life Inquiry\"   (PDF) .  HM Treasury . Archived from  the original   (PDF)  on 2008-09-10 . Retrieved  2009-08-20 .   \n ^   Newman, Frank G. (January 1965).  \"Acquisition of a Life Insurance Company, The\" .  The Business Lawyer . American Bar Association.  20  (2): 411–416 . Retrieved  April 4,  2016 .  The first life insurance company in America was organized in 1759 under the corporate title 'The Corporation for Relief of Poor and Distressed Presbyterian Ministers, and of the Poor and Distressed Widows and Children of Presbyterian Ministers'.   \n ^   \"How Health Insurance Works\" . Howstuffworks.   \n ^   \"Encarta: Health Insurance\" . Archived from  the original  on 2009-11-01.   \n ^   \"Railway Passengers Assurance Company Ltd\" . Retrieved  2012-12-17 .   \n ^   A. P. Woodward (March 1917).  \"The Disability Insurance Policy\" .  The Annals of the American Academy of Political and Social Science .  70  (1): 227–237.  doi : 10.1177/000271621707000116 . Retrieved  January 4,  2014 .   \n ^  a   b   E. P. Hennock (2007).  The Origin of the Welfare State in England and Germany, 1850–1914: Social Policies Compared . Cambridge University Press.   \n ^   Hermann Beck (1995).  The Origins of the Authoritarian Welfare State in Prussia: Conservatives, Bureaucracy, and the Social Question, 1815-70 . University of Michigan Press.  ISBN   978-0472105465 .   \n ^   The Cabinet Papers 1915–1982: National Health Insurance Act 1911.  The National Archives, 2013. Retrieved 30 June 2013. \n ^   Bentley B. Gilbert (1973).  British Social Policy, 1914–1939 . BATSFORD.  ISBN   978-0713411287 .   \n \n References [ edit ] \n Primary sources \n Prudential Insurance Company of America, ed.  The Documentary History of Insurance, 1000 B.C. - 1875 A.D.  (1915) \n Secondary sources \n Alborn, Timothy.  Regulated Lives: Life Insurance and British Society, 1800–1914  (University of Toronto Press, 2009) \n Buley, R. Carlyle.  The American Life Convention, 1906–1952: A Study in the History of Life Insurance  (1953) \n Dickson, P. G. M  The Sun Insurance Office, 1710–1960: The history of two and a half centuries of British insurance  (1960) \n Feldman, Gerald D.  Allianz and the German Insurance Business, 1933–1945  (2006) \n Keller, Morton.  The Life Insurance Enterprise, 1855–1910: A Study in the Limits of Corporate Power  (1999) \n Kingston, Christopher. \"Marine Insurance in Britain and America, 1720–1844: A Comparative Institutional Analysis\",  Journal of Economic History , June 2007, Vol. 67 Issue 2, pp. 379–409 \n Murphy, Sharon Ann.  Investing in Life: Insurance in Antebellum America  (Johns Hopkins University Press; 2010) 416 pages. \n Murray, John E.  Origins of American Health Insurance: A History of Industrial Sickness Funds  (2007) \n Pearson, Robin.  The Development of International Insurance  (2010) \n Pearson, Robin.  Insuring the Industrial Revolution: Fire Insurance in Great Britain, 1700–1850  (2004) \n Raynes, Harold E.  A History of British Insurance  (1948) \n Stalson, J. Owen.  Marketing Life Insurance: Its History in America  (Harvard University Press; 1942) \n Zelizer, Viviana A. Rotman.  Morals and Markets: The Development of Life Insurance in the United States  (1979) \n \n \n \t\t\t\t\t \n\t\t\t\t\t\tRetrieved from \" https://en.wikipedia.org/w/index.php?title=History_of_insurance&oldid=773600299 \"\t\t\t\t\t \n\t\t\t\t Categories :  History of insurance History of finance Hidden categories:  Webarchive template wayback links All articles with unsourced statements Articles with unsourced statements from January 2012 Wikipedia articles needing page number citations from November 2016 \t\t\t\t \n\t\t\t\t\t\t\t \n\t\t \n\t\t \n\t\t\t Navigation menu \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t Personal tools \n\t\t\t\t\t\t Not logged in Talk Contributions Create account Log in \t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t Namespaces \n\t\t\t\t\t\t Article \n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t Talk \n\t\t\t\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t Variants \n\t\t\t\t\t\t \n\n\t\t\t\t\t\t \n\t\t\t\t\t\t\t \n\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t \n\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t Views \n\t\t\t\t\t\t Read \n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t Edit \n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t View history \n\t\t\t\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t More \n\n\t\t\t\t\t\t \n\t\t\t\t\t\t\t \n\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t\t \n\t\t\t\t\t\t \n\t\t\t\t\t\t\t Search \n\t\t\t\t\t\t \n\n\t\t\t\t\t\t \n\t\t\t\t\t \n\t\t\t\t\t\t\t\t\t \n\t\t\t \n\t\t\t \n\t\t\t\t \n\t\t\t\t\t\t \n\t\t\t Navigation \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t Main page Contents Featured content Current events Random article Donate to Wikipedia Wikipedia store \t\t\t\t\t \n\t\t \n\t\t\t \n\t\t\t Interaction \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t Help About Wikipedia Community portal Recent changes Contact page \t\t\t\t\t \n\t\t \n\t\t\t \n\t\t\t Tools \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t What links here Related changes Upload file Special pages Permanent link Page information Wikidata item Cite this page \t\t\t\t\t \n\t\t \n\t\t\t \n\t\t\t Print/export \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t Create a book Download as PDF Printable version \t\t\t\t\t \n\t\t \n\t\t\t \n\t\t\t In other projects \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t Wikimedia Commons \t\t\t\t\t \n\t\t \n\t\t\t \n\t\t\t Languages \n\n\t\t\t \n\t\t\t\t\t\t\t\t\t हिन्दी Italiano Lietuvių \t\t\t\t\t Edit links \t\t\t \n\t\t \n\t\t\t\t \n\t\t \n\t\t \n\t\t\t\t\t\t\t  This page was last edited on 3 April 2017, at 11:13. \n\t\t\t\t\t\t\t\t\t\t\t Text is available under the  Creative Commons Attribution-ShareAlike License ;\nadditional terms may apply.  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Primary functions in an insurance corporate

Primary functions in an Insurance Company

Let us look at some insurance problems

insurance_problems <- read.csv("nodes.csv", header = TRUE)

insurance_problems

##        id                                                        problem
## 1       1                                        Pricing/Risk Management
## 2       2                                                   Underwriting
## 3       3                                              Claims Operations
## 4       4                                                      Reserving
## 5       5                                          Investment management
## 6       6                                                     Operations
## 7       7                                          Call centre analytics
## 8       8                                                   Distribution
## 9       9                                                 Loss modelling
## 10     10                                    Competitive market analysis
## 11     11                                  Price optimization management
## 12     12                                        Customer lifetime value
## 13     13                           Catastrophe management & Reinsurance
## 14     14                                         Premium trend analysis
## 15     15              Understanding the reasons for customer attrition 
## 16     16                   Counter the drop in close rates (for quotes)
## 17     17 Analyse the reason for dip in quotes coming in to the business
## 18     18                                            Loyalty measurement
## 19     19                                 Identifying payment defaulters
## 20     20                                      Premium/Losses projection
## 21     21                            New product rating plan development
## 22     22                     Customer risk based segmentation/profiling
## 23     23                                    Projecting policies inforce
## 24     24                                            Premium adjustments
## 25     25                                         Automated underwriting
## 26     26                                            Referral refinement
## 27     27                                          Rate adequacy process
## 28     28                                               Claims reporting
## 29     29                          Claims customer satisfaction analysis
## 30     30                                Recall products/Claims recovery
## 31     31                                       Property fraud detection
## 32     32                                     Workers compensation fraud
## 33     33                                            Bodily injury fraud
## 34     35                                 Internal fraud detection model
## 35     36                                Accident and health fraud model
## 36     37                                  General liability fraud model
## 37     38                                               Disability fraud
## 38     39                                          Link pattern analysis
## 39     40                                         Medical provider fraud
## 40     41                                     Soft fraud detection model
## 41     42                                 External fraud detection model
## 42     43                                                 Loss reporting
## 43     44                                            Subrogation reports
## 44     45                                      Weather impact projection
## 45     46                         Claim frequency & Severity forecasting
## 46     47                                               Reserve adequacy
## 47     48                     Month end booking  loss severity reporting
## 48     49                                    Large loss claim prediction
## 49     50                                    Catastrophe loss prediction
## 50     51                                               Yield management
## 51     52                                    Hedging strategies analysis
## 52     53                                       Asset liability matching
## 53     54                                         Portfolio optimization
## 54     55                                             Investment reports
## 55     56                                       Reinsurance optimization
## 56     57                                         Cash flow optimization
## 57     58                                   Operational financial models
## 58     59                                      Equity research modelling
## 59     60           Budget estimates based on revenue and cost forecasts
## 60     61                     Strategic business plans and goals setting
## 61     62                               Financial reports and dashboards
## 62     63                                                   HR analytics
## 63     64                                                Data management
## 64     65                     Performance measurement & Incentive design
## 65     66                          Improve Call service reps performance
## 66     67                                   Increasing call satisfaction
## 67     68                                       Intelligent call routing
## 68     69                                FNOL preferred channel analysis
## 69     70                        Measure call centre agent effectiveness
## 70     71                                          First call resolution
## 71     72                                  Agency performance evaluation
## 72     73                                          Driving cross/up sell
## 73     75                                             Campaign reporting
## 74     78                   Customer satisfaction & Experience analytics
## 75     79                                  RFM Direct response modelling
## 76     80                                           Channel optimization
## 77     81                                     Channel specific retention
## 78     83                                         Agency life time value
## 79     84                                 Broker profitability dashboard
## 80     85                                   Channel profitability report
## 81     86                                            Vendor optimization
## 82     88                                 Product profitability analysis
## 83     89                                             Targeted marketing
## 84     90                                       Brand sentiment analysis
## 85     93                                          Cross channel synergy
## 86     94                                        Marketing Effectiveness
## 87     95                                    Brand value driver analysis
## 88     96                             ROI analysis - Branding activities
## 89     98                              Customer Touch point optimization
## 90     99                                 Customer engagement assessment
## 91    100                                            Product Development
## 92    101                                           Like-market analysis
## 93    102                                          Go-to market strategy
## 94    103                                        Competitor Benchmarking
## 95    104                                  Consumer focus Group Analysis
## 96    105                                            Market-gap analysis
## 97    106                                 Product-portfolio optimization
## 98    107                                 Product Profitability Analysis
## 99    602                                   Customer lifecycle marketing
## 100   603                                     Marketing spend allocation
## 101   604                                                Email marketing
## 102   605                                             Customer targeting
## 103   606                                  Marketing channel performance
## 104   607                                         Social media marketing
## 105   608                                              Digital analytics
## 106   609                               Behavioral customer segmentation
## 107   610                                       Channel mix optimization
## 108   611                                      Cross channel attribution
## 109   612                                  Purchase propensity modelling
## 110   613                                Cross-sell propensity modelling
## 111   614                                   Up-sell propensity modelling
## 112   615                                                  CLTV analysis
## 113   616                                       Share of wallet analysis
## 114   617                                            Campaign assessment
## 115   618                                                    A/B testing
## 116   619                                 Measurement of brand awareness
## 117   620                                         Brand perception study
## 118   621                                     Search Engine Optimization
## 119   622                                   Measure effectiveness of SEM
## 120   623                                        Share of voice analysis
## 121   624                                Website performance improvement
## 122   625                                             Customer profiling
## 123   626                                           Like market analysis
## 124   627                                           Market mix modelling
## 125   628                                         Customer loyalty study
## 126   629                                       Competitive benchmarking
## 127   630                                Customer experience improvement
## 128   631                                    Effectiveness of promotions
## 129   632                                 Customer satisfaction analysis
## 130   633                           Agent based modelling and simulation
## 131   634                                       Sales conversion drivers
## 132   635                                      Channel pathway modelling
## 133   636                              Competitor performance assessment
## 134   637                                          Direct mail marketing
## 135   638                                        Customer churn analysis
## 136   639                                             Customer retention
## 137   640                              Marketing prospect identification
## 138   641                               Customer messaging effectiveness
## 139   642                                 Brand ambassador effectiveness
## 140   643                                   Target market identification
## 141   644                               Marketing channel prioritization
## 142   645                                 Content improvement strategies
## 143   646                                     Increasing marketing reach
## 144   647                                                Brand valuation
## 145   648                                             Market penetration
## 146   649                            Improving customer acquisition rate
## 147   650                                       Increasing brand loyalty
## 148   651                                   Advertising agency selection
## 149   652                                         Improving lead quality
## 150   653                                                Viral marketing
## 151   654                                   Lead generation maximization
## 152   655                                              Brand positioning
## 153   656                           Website conversion rate optimization
## 154   657                                                Product pricing
## 155   658                           Direct marketing list identification
## 156   659                            Email marketing list identification
## 157   660                                  Customer feedback utilization
## 158   661                                       Customer buying patterns
## 159   662                                         Barriers to repurchase
## 160   663                            Qualified Online traffic evaluation
## 161   664                                        Online customer profile
## 162   665                           Product prioritization for marketing
## 163   666                               Vendor profitability measurement
## 164   667                                              Product portfolio
## 165   668                                            Brand Effectiveness
## 166   669                                            Product Positioning
## 167   672                                     Social Engagement Analysis
## 168   678                                       Social - Pre launch buzz
## 169   688                                           Social effectiveness
## 170   689                                    Social Media - Value of fan
## 171   690                                        Value of social network
## 172   693                        Prospect identification on social media
## 173   694                                         Social Media Targeting
## 174   695                                     Customer Social Engagement
## 175   697                                Social Media Sentiment Analysis
## 176   698                                  Marketing Channel Attribution
## 177   699                                            Competitor Analysis
## 178   700                                              Vendor Assessment
## 179   701                                       Media Trading Automation
## 180   702                                         Media spend allocation
## 181  1400                            Early Insurance Recoverable Tagging
## 182  1500                                              Product Selection
## 183  1501                                                   Productivity
## 184  1502                                         Production Forecasting
## 185  1503                                          Channel Profitability
## 186  1504                                           Channel Goal-setting
## 187  1505                                            Agency Segmentation
## 188  2700                                                Fraud Analytics
## 189  2701                                      Blow-out claim prediction
## 190 20200                 Improve invalid/ fraudulent claims  prediction
## 191 20201                                       Internal fraud modelling
## 192 20202                                       External fraud modelling
## 193 20204                                    Fraud investigation reports
## 194 20205                                            CWP expense reports
## 195 21001                                        Cycle time optimization
## 196 21003                                            Claims segmentation
## 197 21004                                  Claims Fast tracking analysis
## 198 21005                                     Vendor cycle time analysis
## 199 21006                                           Litigation reporting
## 200 21007                                            Vendor optimization
## 201 21008                              Medical bills cycle time analysis
## 202 21009                                   Claims call centre analytics
## 203 21010                                          Adjuster segmentation
## 204 21012                                 Repair process tracking system
## 205 21013                                       Repair time optimization
## 206 21014                                             Vendor report card
## 207 21015                                          Large loss prediction
## 208 21016                                        Claims leakage analysis
## 209 21017                                  Claim risk profile prediction
## 210 21018                                     Estimate accuracy analysis
## 211 21019                                  Fast track estimate generator
## 212 21020                           Adjuster performance tracking system
## 213 21021                                  Adjuster allocation framework
## 214 21022                                       Claims compliance report
## 215 21023                                      Claims litigation tracker
## 216 21024                                            Vendor segmentation
## 217 21025                                                Expense reports
## 218 21026                                Medical bills exception reports
## 219 21027                                      Claims compliance reports
## 220 21028                                      Loss Cost Driver Analysis