Importance of Third-Party Data Growing for Insurers: Novarica
Evaluating sources must become a core competency; new CIO Checklist provides structured approach to determine external data quality and reliability
Boston, MA (June 30, 2020) – With dozens of third-party data providers that market to insurers, the ability to screen out poor data candidates with up-front criteria will quickly provide the insurer CIO a shortlist of suitable vendors. In Vetting Third-Party Data Providers, research and advisory firm Novarica provides a checklist for CIOs that focuses on efficiency, speed to market, and minimizing the impact on scarce and expensive human resources.
“Selecting a data partner is a significant investment of the insurer’s analytics, technology, business, legal, and procurement resources,” says Eric Weisburg, Vice President of Research and Consulting and author of Novarica’s new report. “Too much is riding on third-party data decisions for insurers to take an ad hoc approach.”
Click here for the table of contents or to access the report.
Report Summary
This CIO Checklist proposes a structured approach for insurers to be more efficient in third-party dataset evaluation. Third-party data (3PD) is growing in popularity among insurers. It can provide critical support to the digital and analytical initiatives that insurers are prioritizing across the value chain. The 3PD space is crowded with solution providers who offer varying levels of data quality and completeness. The process of testing that data in a use case can be time- and resource-intensive.
A structured approach reveals easy-to-spot showstoppers early in the process. Back-ending the actual data quality and analytic uplift assessment can avoid wasted efforts, conserve resources, and accelerate the use of 3PD.
The Checklist
- Define a use case that makes financial sense;
- Develop measurable success criteria for a proof of concept;
- Satisfy procurement’s vendor criteria;
- Ensure the provider will meet SLA requirements;
- Ensure the provider architecture is sufficiently robust for the use case;
- Understand the provenance, access rights, and appropriateness of data;
- Evaluate the data;
- Confirm the proof of concept met success criteria;
- Check vendor references.
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: data, Novarica, third-party data
Read the original article at Insurance-Canada.ca