Abraham, Jon P
This project applies mathematical techniques to design a process by which an insurance company can optimize revenue. The main objective is to categorize client portfolios using K-means algorithm to segment the market. After clusters are obtained, a logistic regression is applied to determine the optimal premium increase/decrease that maximizes the revenue for each cluster, based its specific characteristics. Applying the optimal premium change to each customer subgroup, the firm will increase its overall revenue.
Worcester Polytechnic Institute
Major Qualifying Project
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