Data really can deliver excellent results for insurers and brokers, but it needs to be targeted – and timing can also be everything. IE caught up with Artesian’s Andrew Yates and DueDil’s Justin Fitzpatrick as they announced the merger of their two companies.
It’s no secret that insurers, MGAs and brokers have been playing catch-up when it comes to data in the last few years. The Covid19 pandemic has concentrated minds however, as it’s become obvious that our economy is going digital ever faster.
However understanding the true value of data is still crucial, because you can easily be overwhelmed with information, from multiple sources, that can prove confusing at the point of quote. Then there’s the compliance issues surrounding suppliers and partner companies. In short, it makes sense to know as much as you can about companies from every angle.
IE wanted to find out more about the merger, plus how the combination of Artesian and DueDil can deliver results to companies in the insurance sector.
IE; What makes this the perfect time for a merger?
AY; DueDil already has a great range of data on companies, that goes way beyond the traditional basic level knowledge that’s available from Companies House. The financial insights they have really do align very well with the Artesian Connect product we have right now.
By merging the expertise both companies have you can offer a product that updates 3-4 times per day and when it comes to company partnerships for example, that sort of on-demand data can really help you make a key decision. What you don’t want to do is agree a deal without knowing who has true control in a company, or whether a big client contract has just been announced perhaps.
JF; DueDil already had a keen interest in the insurance sector, as our Chairman is the former CEO of Hiscox, so we wanted to form an alliance that really builds on what DueDil is known for; really useful business data.
The growth of InsurTech products over the last few years, the partnerships and the use of technology to layer data, to structure it, acted as a real focal point for DueDil. The timing is right for offering a range of products built upon real-time data.
“With insurers, one of the areas we’ve helped is around back book enrichment. Things constantly change with customers, and they rarely notify the insurer of those changes. This can lead to the policy being invalidated, unbeknownst to the customer and the insurer. Through our Business Information Graph (B.I.G.),
insurers can clean and enrich the information they hold on their customers, showing them things they didn’t know before, and be proactively notified of any changes so that they stay on top of the risk in their book.”
AY; The great thing about looking at extracting richer data, a 360 view from your client book, is that it can reveal gaps in cover, or under-insurance as the risk has changed. Expansion could mean a new fleet of vehicles, a new office or site upgrade – all those pieces of data offer opportunities for a chat, a new quote or an upgrade to an existing Commercial policy.
IE; So this isn’t just about looking at the data when it is close to renewal time and then adjusting the pricing? You can be on the client’s side much more and say `hey, we spotted you are now doing this, so maybe we can help?’ sort of approach?
AY; Exactly, it lets insurers and brokers be more pro-active and make useful suggestions because you understand your client’s business that bit better.
JF; Another aspect is helping clients spot that they might not be covered as their risk profile has changed, or they have entered a new market, signed up a new overseas supplier and so on. It’s using that data to deliver a better service and that in itself will always help the insurer-client relationship.
The product we have can allow you to select push notifications, so you can fine tune your insurance team’s work schedule.
IE; Ah, so you can use this like an app and then send out an update to a client when you see the opportunity to expand existing cover, or offer something new based on their recent partnership announcement or something?
JF; Yes that’s right, we use a business graph approach, and factor in things like social signals, so knowing that a client has formed a new partnership acts as a push notification. You can offer the advice at the perfect time.
AY; What we want to achieve with the merger is to offer a data product that helps insurers or brokers keep a customer for life.
If you think about how insurance brands are looking for new business, how much time and money that costs, you can see that by serving the existing policyholders with really useful data could be more cost-effective in the long-term. There is a virtuous circle at play here; you insure a set of Commercial risks, then you keep in step with your client’s business by truly knowing their sector, gathering data and responding to it.
You can look at combined data from different sources, overlay it, and then offer all that insight to your client. By delivering a more targeted service on insurance risks, you’re not just selling on price anymore, it’s about the value of that data to both the policyholder and the insurer.
IE; Do you think the pandemic has shaken the Commercial sector up a bit, as retail has rapidly declined and more mixed use has developed?
JF; We still see a lot of risk being priced as part of a portfolio, there is still that approach in some parts of the insurance sector. It’s a traditional way of covering all kinds of risks but the data isn’t in silos now, it’s being linked much more effectively.
I think even smaller companies now want insurance products that are personalised to their niche, whatever that may be. There is an acknowledgement that a one-size-fits-all Commercial policy doesn’t work anymore.
AY; So many companies have changed their business model in the last 18 months; new directors, new partners involved, new markets being explored. You can only insure the risks accurately and price it, if you have rich data right in front of you. That’s better for business all round.
IE; And finally, what does this merger mean for your existing clients? Will you continue investing in both products?
AY; With immediate effect we are able to offer additional capabilities to our customers, whether that’s access to DueDil’s advanced APIs or Business Information Graph (B.I.G) technology for Artesian customers, or access to low/no-code rules engine and sales intelligence tools to DueDil customers.
Existing customers can talk to us to understand how this change impacts them and where they can expect additional value.
JF; We are working on plans to integrate our products to ultimately deliver a broader and richer set of capabilities. Both product sets have complementary capabilities that will allow UK & Irish Insurers, Brokers, banks and FinTech companies to find the right customers, onboard them faster and keep them for life.
IE; Interesting insights, thank you.
The new merged company will see Andrew Yates retained as CEO, while Justin Fitzpatrick (DueDil’s CEO) will remain at the business to lead the integration of the two companies and help position the combined business for continued future growth.
The combined business has 600+ customers with 80% from the Financial Services and Insurance (FSI) sectors.