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  • Using the 2013 data set provided by Insurance Inc., logistic regression and linear discriminant analysis models were created along with data visualizations to find out which factors recorded in the data set and the state of those factors causes a client to cancel their policy. The factors that impact whether a client will cancel are those that directly pertain to the policy. For example, the coverage type and the premium the client is paying for the policy impacts the probability the client will cancel their policy. Factors that go into forming the policy and have a relationship between one another such as age and premium, also impact the probability that a client will cancel their policy. The credit status of a client, whether it is low, medium, or high, and the type of coverage they have, has the most impact on a client's inevitability to cancel. If a client's credit score is classified as low, then that client is has a high probability of cancelling their policy according to the LDA (Linear Discriminant Analysis) classifier and logistic regression model. Likewise, if a client has coverage type B, the probability that they will cancel their policy is higher. The sales channel used to sell a client a policy also impacts the probability they will cancel. According to the LDA classifier and the logistic regression model, if a client was sold a policy over the phone, they are more likely to cancel. © 2024 IEEE.

Last update from database: 3/13/26, 4:15 PM (UTC)

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