The Role and Responsibilities of Insurers in Data Sharing

In a recent COVER Magazine interview, Tony delves into the intricacies of data sharing within the insurance sector, speaking with Sharon Paterson, CEO of Infiniti Insurance, and Angus Black, Director at Barn Owl Data Solutions.  

Sharon explains the dual necessity for insurers to secure daily data dumps and maintain comprehensive access to client data, driven by both regulatory mandates and operational demands. She illustrates how precise data management is essential for handling claims, particularly during events like recent heavy rains, and for ensuring regulatory compliance.

Angus provides an overview of the technical challenges associated with aggregating data from diverse broker systems, each with its unique format. He emphasises the critical role of data standardisation and cleansing to create a unified database, enabling meaningful analysis and comparison. Barn Owl Data Solutions has partnered with numerous insurance management systems to facilitate this process, ensuring that insurers like Infiniti can rely on high-quality, consistent data for their operations.

The conversation highlights the numerous benefits that effective data management brings to brokers and insurers alike. For brokers, detailed data reporting offers invaluable insights into client claims histories, enables precise rate benchmarking, and supports regional pricing comparisons. This not only aids brokers in better serving their clients but also helps them maintain competitive pricing structures.

Sharon and Angus also address the practical challenges faced in data management, such as the impact of load shedding on daily data collection and the necessity of continual technical advancements to overcome these hurdles. They underscore the importance of leveraging technology to streamline data processes, reducing the burden on brokers and allowing them to focus more on client interactions.

Overall, the interview underscores the transformative role of data in the insurance industry, highlighting how meticulous data management and innovative technological solutions can significantly enhance operational efficiency and client service.

Key point  

1. Regulatory and Operational Data Requirements:

• Insurers have a regulatory responsibility to perform daily data dumps and maintain full access to client data.

• Daily data is crucial for business operations, such as managing claims during weather-related events and ensuring proper reinsurance.

2. Challenges in Data Integration:

• Different brokers use various systems, resulting in data arriving in different formats.

• Standardising and cleansing data is essential to make it useful for comparisons and feedback.

3. Role of Barn Owl Data Solutions:

• Barn Owl Data Solutions has partnered with 34 different insurance management systems to collect and standardise data.

• They ensure data quality through validation checks and address issues like discrepancies and data hygiene.

4. Benefits for Brokers and Insurers:

• Accurate data reporting helps brokers benchmark rates, understand client claims history, and adjust pricing appropriately.

• Insurers benefit from streamlined data processes, reducing the need for manual reports and allowing more focus on client interactions.

5. Technological Challenges and Solutions:

• Load shedding and technical issues can disrupt data collection.

• Continuous innovation and building robust systems help mitigate these challenges.

6. Cooperation and Continuous Improvement:

• Infiniti Insurance has established systems to utilise data effectively from the beginning.

• Both insurers and brokers benefit from mutual cooperation and see the value in accurate data reporting and feedback.

7. Feedback and Reporting:

• Insurers provide brokers with detailed reports, helping them see changes in rates and compare their performance with peers.

• These reports assist brokers in making informed decisions about client pricing and risk management.

Overall, the discussion emphasises the critical role of data in the insurance industry and the collaborative efforts needed to manage and utilise data effectively for the benefit of both insurers and brokers.