Merger and acquisition activity, high levels of switching and separated database infrastructures have made customer data management one of the insurance market’s biggest challenges. At the same time, the FCA has issued a final report containing proposed remedies to address the need for insurance firms to provide fair value to their customers and greater pricing transparency to the FCA.
Responding to these challenges, LexisNexis® Risk Solutions, a leading provider of insurance data and analytics, can now help insurance providers create a cohesive single-customer view across underwriting, pricing, renewals and claims. LexID® is the unique identifier built from proprietary linking technology and vast data resources including insurance specific data to match disparate identity information.
A study by the Managing General Agents Association found only 30% of MGAs use their data for cross-selling. LexID for Insurance finds common threads across customer records pulling on a wide range of data sets, comprising circa 2.3bn records including public and insurance policy history data, to help build the picture of the individual to support all parts of the insurance continuum.
Atlanta Group, one of the fastest growing brokers in the UK market, consisting of brands including Swinton, Autonet and Carole Nash is one of the first insurance providers to take advantage of LexID for Insurance in the UK. Atlanta Group said: “LexID for Insurance is enabling us to improve uniformity of our customer data to create a single customer view across all our brands. This also improves data accuracy, helping us to identify new ways to deliver value to our customers.”
Disparate records can be linked into a common LexID identifier using LexisNexis® Scalable Automated Linking Technology, a patented method of linking and clustering data. By pulling together data from multiple touchpoints – quote, renewal, claims and marketing – insurance providers can build a comprehensive and accurate representation of their customer.
James Burton, senior director of product management, LexisNexis Risk Solutions, U.K. & I, said: “Data stored in multiple silos as a result of legacy systems or merger and acquisition activity risks becoming outdated, incorrect and inconsistent. Individuals may appear in multiple disparate customer databases within the same insurance group. This can lead to wasted marketing budgets, customer service inefficiencies, inaccurate pricing and wasted data storage costs.”
“At the same time, the market is under pressure to support customers impacted by the pandemic and needs to prepare for the proposed new pricing regulations. This starts with ensuring you have a complete, single view of your customer’s history across all products and all touchpoints.”
“An insurance provider that knows the details of a customer’s wider insurance requirements, renewal dates and up-to-date contact information is much more likely to be able to carry out effective communication at all stages of the customer journey, and in turn, cross-sell relevant products at the right time. This can be achieved with a consistent methodology for standardisation and matching of customer data across multiple databases.”
A proven ID matching solution, LexID has been the bedrock of LexisNexis Risk Solutions products and services for over a decade. Now, it is available to help bring sense and order to insurance provider-held customer databases.