Over the last decade or so, every significant business has been paying close attention to what seems to be a game-changing asset for their industry – data. For insurers, however, data has always been at the heart of what they do. Traditional actuarial underwriting, for example, has involved the analysis of data to get a better idea of risk-based pricing for many years.
What is new is that data has grown in volume, quality and accessibility, and there is now the ability to combine and analyse multiple data sources, which is giving insurers plenty to think about. Richard Warner, chief operating officer and former chief information officer at LV=, says the combination of sources could include the merging of a fitness app, diabetes app, calorie-tracking app and a mindfulness app, for example, with the resulting data being used to create better customer insight for use by the business and consumer.
Author: Sooraj Shah