Workers Comp Predictive Modeling – Big Data Is The Key
The Workers Comp predictive modeling prognosticators say that predicting workers comp data is on the horizon. I was just reading over Mark Wall’s Work Comp Analysis Group in LinkedIn. If you are in Workers Comp and you do not follow the group, you are missing out on a number of great discussions.
There was a PHD’er that had a very-well written article on another Workers Comp blog concerning Workers Comp predictive models (PM). I chimed in and then decided to give Mark’s group some exposure – like it needs it with over 11,000 members.
I am for Workers Comp PM as much as anyone else in the Workers Comp business. However, as I mentioned in a posting to the group, property casualty claims (other than crop) have predictive models that are based on fixed variables. (property, auto, etc.)
Workers Compensation has to deal with an individual’s psychographic makeup along with the least predictive variable which is the healing of the human body. I have always noticed the variability of how people heal is nothing other than amazing. There are no two people alike in this respect.
Liberty Mutual is assembling the largest database in history. I hope they share some of their prognostications. Their research will likely be earth-shaking. I am not sure when their PM model will be finished to the point where they can publish any of the results. They may use it as a competitive advantage in the marketplace.
I have undertaken general research on a group of 7,000 and 5,000 files in the past. One group was of public employees while the other was random private companies. I will share what I found in my post tomorrow concerting PM. One hint of what I found was posted by me on Mark’s blog.
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