Data management: tips and techniques for success

Just like any job, you need the right tool to complete it effectively and risk management is no different. Although risk managers today have many such tools already at their disposal, such as AI applications or risk management tools to improve risk visibility and risk monitoring processes, these tools require large quantities of high-quality, relevant and reliable data.

Using a data management platform such as Insurwave, ensures this data is collected and presented in an intuitive way, so the granular insights provided are available to be shared with brokers, insurers or regulators to allow you to prioritise mitigation measures and this, in turn, allows a business to decide which portions can be absorbed by the balance sheet, which parts go to the captive, and what lands with the insurer or reinsurer.

Similarly, insurers are increasingly turning to forms of data visualisation to help them improve their data literacy to access detailed information about future geopolitical events and other factors affecting policy rates, allowing them to better understand their exposures, pick up on patterns and, most importantly, focus on the details that matter most.

With more options to visualise your data becoming available every day, there has never been a better time for insurers, insurance buyers and brokers to make better use of data visualisation to optimise their business operations. And the more quality data you capture, the better.

To get a solid grasp of your exposure, access to good quality data and an effective form of visualisation for that data is key to both understanding and making better-informed decisions about contracts, premiums and claims.

Through risk visualisation, you can process and interpret critical data more efficiently and naturally by using tools that enable graphical representations. Your organisation’s risk profile can be easily understood this way, as can suggestions for improving it.

When your business exposure changes, it makes sense to want the impact on your cover to be managed effectively to ensure cover certainty and risk measurements are in place. While this is traditionally a manual, time-consuming process, using automation can help make sure everyone who needs to be is notified of the changes and any adjustments that should be made can be without any human intervention.

For example, many insurance buyers, insurers and brokers have benefitted from using Insurwave to maintain their asset schedules in one place to automatically notify participants, automate the premium adjustments and update the required certificates through report generation.

Using a data management platform to manage all their data in one place allows you to directly connect with the market to share updates automatically and configure automation rules through setting up rates, business rules and templates for specific events to automate operational processes.

For companies that consider such efforts to help drive standardisation will greatly reduce the need for manual manipulation of data at renewal, which means fewer human errors and more time to focus on value-add activities.

To successfully mitigate or transfer risks, you first need to understand and quantify them. However, problems with the collection and analysis of underlying data means many firms are struggling to get a holistic picture of their exposures.

This problem is compounded by a lack of communication, meaning that departments are often working in silos and the company does not have a single source of data. Exposures are frequently miscalculated, leaving firms under and over-insured or unable to make sensible decisions about mitigation, transfer or retention of risk.

However, organisations that can effectively achieve a standardised output were able to do so due to having a detailed and easy-to-digest view of their exposure data and premium change trends by cause. Insurwave’s intuitive analytics dashboard informed a more effective decision-making process for their organisation’s captives to better allocate their resources.

Ultimately, the companies that drive standardisation will greatly reduce the need for manual manipulation of data at renewal, which means fewer human errors and more time to focus on value-added activities. It also means all parties have a single language across the business and can start to drive effective analysis, informing risk transfer decisions.

In conclusion, effective data management is paramount for insurance professionals to navigate the challenges across the value chain successfully. Access to high-quality data, coupled with visualisation, standardisation, and automation, forms the foundation for comprehensive risk management. Utilising tools like Insurwave facilitates the collection and presentation of data, enabling informed decisions on mitigation measures and resource allocation. Embracing these data management strategies not only enhances operational efficiency but also allows insurance professionals to concentrate on value-added activities, ultimately contributing to the overall success of their organisations.