India's largest platform and marketplace for GCCs & AI

Sign in

India's largest platform and marketplace for GCCs & AI
Become a Thought Leader
Become a 3AI Member

Sign in

3AI Digital Library

< Go Back

Customer Retention and Revival

3AI August 16, 2020

Leading Life Insurance Company In India

Problem Statement

  • An overall lapse rate of 60% especially in policies issued, challenge was in retaining specific high valued customers and optimization of retention activity
  • Also an intention to integrate the customer acquisition system and retention processes into analytics.

Analytics Led Approach

  • Thorough analysis of customer and policy information (along with other data), to provide clear directions and actions for controlling attrition
  • Given are high level process steps which were followed :
    • Data Exploration – Combining Policy; Customer; Prospect and Agent Data
    • Data processing and Variable Selection
    • Analytical Model Development
    • Model Output
    • Reports & Insights

Business Impact

  • A 360degree view of the risk that is being underwritten (mortality & morbidity risk, early claim & attrition risk, money laundering risk) was developed
  • Utilities for agents to identify the right products to recommend to the customers based on the 360-degree view of the risk even before UW process starts was designed

Critical Success Factors

  • Revived 3.5% of the value in a month of actual implementation
  • Brought back 4.5% of the lapsed customers

    3AI Trending Articles

  • What is Demand Forecasting and how it helps a Business?

    Featured Article: Author: Soutrik Chowdhury & Sreedhar Sambamoorti, AB InBev Demand forecasting is the estimation of a probable future demand for a product or services based on historical trends, seasonal patterns and taking both internal and external factors into consideration  Demand forecasting is crucial for activities such as supply planning, product manufacturing planning, and financial […]

  • Unlocking HR Potential: The Transformative Benefits of Generative AI in Human Resources

    Featured Article: Author: Vipin Verma, Orange Business Services Introduction to Generative AI in Human Resources Human Resources (HR) is a critical function in any organization, responsible for managing and developing the most valuable asset: the workforce. With the advancements in technology, particularly in the field of Artificial Intelligence (AI), HR has the opportunity to unlock […]

  • Human Behavior & Human Data: Beyond Big Data

    In recent years, there has been a lot of hype around “big” data in the marketing world. Big data is extremely helpful with gathering quantitative information about new trends, behaviors and preferences, so it’s no wonder companies invest a lot of time and money sifting through and analyzing massive sets of data. However, what big data fails […]

  • Towards a Responsible Future – Decoding the Importance of Ethics in AI

    Featured Article by Anusha Thakur The conjunction of the obtainability of vast amounts of stretch, speed, and big data for the development of machine learning algorithms and cloud computing platforms has led to a varied range of innovations in Artificial Intelligence (AI). In an era defined by state-of-the-art technologies, the role of AI systems, and […]