Data Quality Matters: How Insurers are Benefiting from Optimal Processes and Accurate Analysis
Insurers are acquiring lots of data, but not everyone is maximizing its use.
Data's value depends on its accuracy, its timeliness and whether it's complete.
Insurers have a host of internal and external resources to assess confidence in their data.
Information that appears complete may not serve its purpose unless its grounded in accuracy and relevancy.
Seeking or using unnecessary information could become an impediment in attracting and acquiring customers.
Acquired data may come from original collection efforts, or it could simply be a third-party purchase. Being able to answer questions about the data is crucial.
Insurers that acquire data need to know how it was collected, that it was cleaned and verified and how it will fit into future developments.
Evaluations based on historical information should take into account not only when events took place, but when that information was available to those who could have utilized the information.
There is no substitute for actually examining raw data, which often yields surprises in how information is organized and described.
