Market Development

The insurance market is cyclical, with periods of profitability balanced regularly with a soft market. Demand for insurance, however, tends to be stable—people don't buy more than one policy just because the supply is greater and prices are lower.

This requires insurance companies to be creative in identifying new markets, serving underdeveloped markets, and retaining existing customers.

GIS software such as ArcGIS combined with demographic data packages allows insurers to profile potential and existing customers and perform predictive modeling to find new opportunities. GIS maps the results so you can see potential market areas much more easily than with a database view of columns and numbers.