New Novarica report profiles more than 75 data providers that serve insurers
Boston, MA (Apr. 6, 2021) – While insurers have long drawn upon third-party data providers to enhance their marketing, underwriting, and claims, growing digital services and the availability of more powerful analytics have driven recent increases. In Third-Party Data in Insurance: Overview and Prominent Providers, research and advisory firm Novarica reviews multiple insurance industry use cases for third-party data, provides examples of insurers that are investing in this area, and profiles more than 75 data providers that serve insurers.
“Core systems vendors are increasingly incorporating analytics functionality into their offerings, and many already enable web service calls,” said Eric Weisburg, Vice President of Research and Consulting and co-author of Novarica’s new report. “As insurers and vendors build support for APIs and true microservices into their architectures, it will be easier to integrate third-party data, making progress toward true straight-through processing.”
Key findings of the report include:
- 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 that online retailers set both stand out as relatively new motivators.
- Privacy concerns have made data use transparency critical. Growing state regulations such as New York State’s Cybersecurity Regulation and the California Consumer Privacy Act have increased demand for transparency in how organizations use data and for what purposes.
- Third-party data providers are consolidating, due to vendors’ desire to maximize wallet share. Data vendors are not always integrated into their acquirers, which can mean challenges for insurers consolidating their data purchases for a more efficient procurement experience.
Click here for the table of contents or to access the report.
Report Summary
Insurers continue to leverage third-party data for analytics augmentation and predictive modeling as well as for validating and cleansing existing data. The marketplace of third-party data providers is complex, with cross-industry providers, specialists, and startups all vying to help insurers.
This report reviews multiple insurance industry use cases for third-party data and examples of insurers that are investing in this area. It also profiles more than 75 data providers that serve insurers.
Click here for the table of contents or to access the report.
About Novarica
Novarica helps more than 150 insurers make better decisions about technology projects and strategy. Its research covers trends, best practices, and vendors, leveraging relationships with more than 300 insurer CIO members of its Research Council. Its advisory services provide enterprise phone and email consultations on any topic for a fixed annual fee. Consulting services range from assessments and strategic roadmaps to vendor evaluations. For more information, visit www.novarica.com.
Source: Novarica
Tags: Artificial Intelligence (AI), brief, customer experience (CX), Novarica, third-party data