(Photo credit: Tony Hisgett.)
Predictably, predictive analytics for P&C insurance has come of age! It was inevitable that predictive analytics would become an extension of P&C carriers’ SaaS-based core system platforms in order for them to deploy and leverage analytics across the entire enterprise from claims to underwriting to product development and distribution. Guidewire is perfectly positioned to help their impressive and still growing client list of global and multi-tier P&C carriers to accomplish that objective. And EagleEye Analytics, with deep subject matter expertise in predictive analytics and purpose built for P&C carriers, is an ideal acquisition by which Guidewire can help clients do exactly that.
I would expect to see a number of almost immediate results from this announcement, including heightened M&A activity and consolidation involving smaller analytics solution providers and an “arms race” among core system and other insurance industry information providers to acquire and or develop competitive analytics capabilities. And of course, the market value of experienced “data scientists” will continue to outpace most other career classifications.
Longer term, consumers will benefit from new, innovative and better targeted personalized insurance products and policyholders and claimants can expect a quicker and more hassle-free claims settlement experience.