The Capability of Machine Learning for Predicting Disability Probabilities based on Long-term Absenteeism

The main purpose of insurance companies is to offer protection against financial losses in exchange for a predetermined premium which is set before the future costst are exposed. For the determination of the premium, the claim probability needs to be predicted as accurate as possible. In this research we demonstrate by using experiments that machine learning can make accurate predictions for claim occurance in the disability insurance industry using long-term absenteeism data.