Date of Award

1-1-2026

Document Type

Thesis

Degree Name

Bachelors

Department

Social Sciences

First Advisor

Khemraj, Tarron

Area of Concentration

Economics

Abstract

This paper develops a comprehensive industry analysis of the U.S. insurance market, integrating market definition, value-chain mapping, industry dynamics, competitive forces, benchmarking, and company applications. It concludes with a focused assessment of how artificial intelligence (AI) is reshaping underwriting, claims, fraud detection, customer interaction, and product innovation. Drawing on regulatory and industry sources (NAIC, Insurance Information Institute, U.S. Treasury’s Federal Insurance Office), and management/consulting research (McKinsey, Deloitte, EY, IBM), the analysis finds a large, mature sector under structural transformation via data and AI. Premiums exceed $1.7 trillion, with Property & Casualty (P/C) representing ~53% and Life/Annuity ~47%. Key risks include climate-related loss volatility, inflation in claims severity, and algorithmic governance. Strategic advantages increasingly hinge on data assets, model governance, and operating discipline.

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