InsurTech refers to the use of state-of-the-art technology, including both emerging hardware and software, to address inefficiencies across the insurance value chain and further explore new opportunities to reshape traditional business operations. InsurTech encompasses a broad spectrum of technology-driven innovations, including, but not limited to, telematics, usage-based insurance, and the integration of Internet of Things (IoT) sensors. In this study, we focus on a specific class of InsurTech, an Insurtech data vendor, that provides insurance companies with next-generation data solutions. We leverage new and diverse external data sources, such as social media data and online content, to enrich the internal database, thereby empowering actuarial analytics and gaining more accurate insights into risk profiles and policyholder behavior. Specifically, by integrating alternative data sources beyond traditional information, insurance companies can uncover previously unrecognized risk factors, reduce bias in existing features, and identify more accurate risk exposures based on the operational characteristics of the insured entities.

Accurate greenhouse gas (GHG) emission reporting is critical for governments, businesses, and investors. However, adoption remains limited particularly among small and medium enterprises due to high implementation costs, fragmented emission factor databases, and a lack of robust sector classification methods. To address these challenges, we introduce Group Reasoning Emission Estimation Networks (GREEN), an AI-driven carbon accounting framework that standardizes enterprise-level emission estimation, constructs a large-scale benchmark dataset, and leverages a novel reasoning approach with large language models (LLMs). Specifically, we compile textual descriptions for 20,850 companies with validated North American Industry Classification System (NAICS) labels and align these with an economic model of carbon intensity factors. By reframing sector classification as an information retrieval task, we fine-tune Sentence-BERT models using a contrastive learning loss. To overcome the limitations of single-stage models in handling thousands of hierarchical categories, we propose a Group Reasoning method that ensembles LLM classifiers based on the natural NAICS ontology, decomposing the task into multiple sub-classification steps. We theoretically prove that this approach reduces classification uncertainty and computational complexity. Experiments on 1,114 NAICS categories yield state-of-the-art performance (83.68% Top-1, 91.47% Top-10 accuracy), and case studies on 20 companies report a mean absolute percentage error (MAPE) of 45.88%. The project is available at: https://huggingface.co/datasets/Yvnminc/ExioNAICS.

The challenge of creating domain-centric embeddings arises from the abundance of unstructured data and the scarcity of domain-specific structured data. Conventional embedding techniques often rely on either modality, limiting their applicability and efficacy. This paper introduces a novel modeling approach that leverages structured data to filter noise from unstructured data, resulting in embeddings with high precision and recall for domain-specific attribute prediction. The proposed model operates within a Hybrid Collaborative Filtering (HCF) framework, where generic entity representations are fine-tuned through relevant item prediction tasks. Our experiments, focusing on the cloud computing domain, demonstrate that HCF-based embeddings outperform AutoEncoder-based embeddings (using purely unstructured data), achieving a 28% lift in precision and an 11% lift in recall for domain-specific attribute prediction.

In recent years, natural language processing (NLP) has become increasingly important in a variety of business applications, including sentiment analysis, text classification, and named entity recognition. In this paper, we propose an approach for company classification using NLP and zero-shot learning. Our method utilizes pre-trained transformer models to extract features from company descriptions, and then applies zero-shot learning to classify companies into relevant categories without the need for specific training data for each category. We evaluate our approach on a dataset obtained through the Wharton Research Data Services (WRDS), which comprises textual descriptions of publicly traded companies. We demonstrate that the approach can streamline the process of company classification, thereby reducing the time and resources required in traditional approaches such as the Global Industry Classification Standard (GICS). The results show that this method has potential for automation of company classification, making it a promising avenue for future research in this area.

For both public and private firms, comparable companies' analysis is widely used as a method for company valuation. In particular, the method is of great value for valuation of private equity companies. The several approaches to the comparable companies' method usually rely on a qualitative approach to identifying similar peer companies, which tend to use established industry classification schemes and/or analyst intuition and knowledge. However, more quantitative methods have started being used in the literature and in the private equity industry, in particular, machine learning clustering, and natural language processing (NLP). For NLP methods, the process consists of extracting product entities from e.g., the company's website or company descriptions from some financial database system and then to perform similarity analysis. Here, using companies' descriptions/summaries from publicly available companies' Wikipedia websites, we show that using large language models (LLMs), such as GPT from OpenAI, has a much higher precision and success rate than using the standard named entity recognition (NER) methods which use manual annotation. We demonstrate quantitatively a higher precision rate, and show that, qualitatively, it can be used to create appropriate comparable companies peer groups which could then be used for equity valuation.

The world's first data and analytics-driven cyber insurance company, Measured Analytics and Insurance, and Relativity6, Inc., a real-time search and classification API that provides practical 6-digit NAICS predictions and company existence checks, announced that Measured Analytics and Insurance has selected Relativity6 platform to provide predictions related to industry classifications as part of their annual report. Measured Insurance's CEO and Co-founder, Jack Vines, said the partnership with such an innovative technology company will aid Measured in its mission to create AI (Artificial Intelligence) drive insurance products "Relativity6's predictions complement what we are trying to accomplish in terms of our strategic goals, and we are excited about partnering up with them." Alan Ringvald, President and CEO at Relativity 6 commented: "Measured is the perfect partner for us due to their understanding of the value that AI powered industry classification can bring to an organization at scale. We very excited to work hand-in-hand with such an innovative company as Measured." As technographic company data continues to prove its value in industries across the global economy, Relativity6 and Measured are thrilled to partner to bring better and more innovative solutions to their customers.