COVID-19: Creating a new insurance data processing paradigm

COVID-19: Creating a new insurance data processing paradigm

COVID-19: Creating a new insurance data processing paradigm

By Scott Quiana, Head of Products, Marketing and Partnerships at Quantemplate

The COVID-19 outbreak is a novel event that is changing the paradigm for how reinsurance and insurance companies think about the intersection of people, technology and outsourcing. While it’s currently creating a disruption in the standard approach to data processing and management, the (re)insurance industry as a whole can emerge stronger in the wake of this event, but only if it adjusts to this changing paradigm.

Never before have we seen such a ripple effect impact across the global economy, with whole industries shutting down to stop the spread of COVID-19. This pandemic has forced outsourcing companies, many of which have not been granted essential status, to manage dispersed staff and data virtually. What has become the new normal in a virtual structure is creating inconsistencies with data infrastructure reliability and security with these back-end outsourcing companies.

These concerns were recently noted in an article from Bloomberg, spotlighting how a few well known data outsourcers asked their clients to relax NDAs and privacy rules – compromising data privacy, security and business continuity. With these pressures, (re)insurers now have to weigh the risks and make a difficult decision between managing short term data privacy and business continuity, or gaining access to the data and analytics that will allow them to understand the long-term impact of this shift across classes and operations.

(Re)insurers cannot and should not be forced to compromise, they need to be able to balance the customer demands of today with gaining intelligence for tomorrow’s business decisions. To achieve this, we will likely see the emergence of a new data paradigm; one that reevaluates and pushes for heavier reliance, both by outsourcing companies and internally by (re)insurers on cloud-based machine learning technologies – including the Quantemplate platform.

We believe that (re)insurers have been on a trajectory towards adopting these technologies for years and COVID-19 is now the push that will propel broader technology adoption. Until recently, the cost and risk to outsource was low, making it the best option to pad the bottom line, but now using this resource carries an unknown cost to businesses that will have to sacrifice continuity, privacy and security, and the value that comes with it surrounding critical data.

Quantemplate’s cloud-based, machine learning technologies for automated data processing eliminates these unknowns and provides transparency and control in data management. (Re)insurers are able to process larger amounts of disparate data sets through a single, secure platform that can be managed by anyone on the team, not just skilled IT professionals, making it easier and safer for team members, working remotely, to manage.

Access to more processed data gives (re)insurers the most valuable tool for the recovery phase directly following global catastrophes - comprehensive analytics. Using these analytics is key to driving business continuity and decision-making surrounding clash, underwriting, and more, all of which will be necessary for recovery efforts once we are through this pandemic.

Whether we like it or not, COVID-19 is going to drive change in the (re)insurance industry – it is already creating a new data processing paradigm where reliance on technology for critical data can supplement outsourced labor. With this new paradigm, (re)insurers will be able to maintain security, privacy and visibility with their data, gather data for comprehensive analytics and continue to drive the business continuity during global disasters.

To learn more, please contact us here: https://www.quantemplate.com/contact or follow us on LinkedIn https://www.linkedin.com/company/quantemplate

Get in touch

How it works

Learn more about Quantemplate

Machine Learning

Harness the power of machine learning to automate data

Get a demo

We'd love to show you more in our 30 minute demo