The capture, use and analysis of data will be key for the insurance industry to match the ever-changing risk needs of its clients, an expert has said.
With risk landscapes constantly shifting, the industry can look to utilise available data to match client needs on products and services.
Jason Disborough, CEO, multinational accounts at
Aon Risk Solutions, said that as the industry collects more data, it can be put to good use.
“Gathering large amounts of data enables the industry to identify and quantify new potential areas of risks and in turn find new markets and products to ensure that there are effective risk management solutions in place for these new and evolving areas,” Disborough told
Insurance Business.
“The speed in which this data can be obtained and analysed enables the industry to be able to try and price the risks more accurately based on real-time data.”
Disborough noted that the development and rise of the Internet of Things (IoT) will also help the industry further collect data. The instant data that IoT devices are able to generate can highlight risks that clients need to get covered or outline areas in which the industry can improve.
Further development of specific products to match client need will be important to help stave off disruption, Disborough said, as the industry has the unique ability to understand risk and then build a product to match need.
In particular, he highlighted the sharing economy and the development of products around those industries as an example the industry can look to moving forward.
“The insurance industry has designed new products to address sharing economy risk exposures and this demonstrates that the industry can move quickly to try and remain relevant as new business models (and hence new business risks) emerge,” he said.
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