New Novarica report outlines use cases, profiles more than 40 established and emerging players
Boston, MA (Mar. 10, 2020) – Several factors have increased the interest of Canadian insurers in third-party data. The perpetual drive to cut costs, satisfy customer expectations, and meet the needs of AI and machine learning investments with large data sets are pushing Canadian insurers to leverage third-party data more than before. In a new report, Canadian Third-Party Data in Insurance: Overview and Prominent Providers, research and advisory firm Novarica reviews multiple insurance industry use cases for third-party data in Canada and profiles 42 data providers.
One notable driver involves regulation:
“Unlike in the U.S., certain classes of data such as prescription histories are not available to Canadian insurers,” said Eric Weisburg, Vice President of Research and Consulting and lead author of Novarica’s new report. “Prime Minister Trudeau is promoting the advancement of the Digital Charter, enhanced powers for the Privacy Commissioner, further regulations of large digital companies (overseen by a Data Commissioner), and a rights-based approach to data governance rather than a principles-based one. Meanwhile, the hunger for data will increase as core systems incorporate more AI, and customer experience continues to be informed by banking, finance, and retail.”
Click here for the table of contents or to access the report.
Report Summary
Canadian insurers are increasingly interested in leveraging third-party data for analytics augmentation and predictive modeling, as well as for validating and cleansing existing data.
This report reviews multiple insurance industry use cases for third-party data and examples of insurers that are investing in this area. It also includes profiles of 42 data providers that insurers use.
Topics
- Insurer data capabilities. Most insurers assess their data capabilities as relatively immature.
- Insurance use cases. This report focuses on marketing, underwriting, and claims.
- Established and emerging players. Profiles include types of data and typical use cases.
Key Points and Findings
- Drivers of third-party data usage include AI, customer experience, cost, and regulation. The need for large data sets to train AI and customer buying experience expectations set by online retailers both stand out as relatively new motivators.
- Privacy concerns have made data use transparency critical. Scandals such as Cambridge Analytica, along with GDPR and domestic concerns, have increased demand for transparency in how organizations use data and for what purposes.
- The hunger for data will increase as core systems incorporate more AI and analytics. The good news is that this should lead to greater efficiency and improved consumer experience.
Click here for the table of contents or to access the report.
About Novarica
Novarica helps more than 100 insurers make better decisions about technology projects and strategy through retained advisory services, published research, and strategy consulting. Its knowledge base covers trends, benchmarks, best practices, case studies, and vendor solutions. Leveraging the expertise of its senior team and more than 300 CIO Research Council members, Novarica provides clients with the ability to make faster, better, more informed decisions. Its consulting services focus on vendor selection, custom benchmarking, project checkpoints, and IT strategy. For more information, visit www.novarica.com.
Source: Novarica
Tags: Artificial Intelligence (AI), customer experience (CX), data, Novarica, technology investment, third-party data
