August 16, 2015

Big Data

 

The Situation
A global reinsurance client used us to build insurance market insights out of a centralised individual
customer knowledge store. This case study shows how a client has taken a pragmatic approach to harnessing big data, andusing it to provide a basis from which useful market wide insights can be derived.

The Client’s Business Goals

  • To transform a massive data asset, managed at considerable cost, into business value,
    generating insights for itself and its clients
  • To create a data environment from which stable analytical results could be derived
  • To build market wide customer segmentations based on usage of protection products
  • To improve understanding of claims risk based on customer provided characteristics
  • To improve understanding in specific areas important to insurance distribution channels,
    including agent performance and lapse prediction

Our solution

  • Working with the client we designed an analytical data mart containing all the information
    required to build insights; the mart was stabilised in terms of the regularity and content of
    updates
  • We set up a mixed team of the client’s and our own analysts to work on insight
    development and to share knowledge
  • We consulted widely within the client to establish and agree the key business priorities for
    insight development
  • The joint team then built, and continue to build, insight tools against these priorities
  • A knowledge library was set up to store and share all insight development results and
    reports

Key benefits

  • The insights are already supporting internal initiatives such as new business acquisition,
    and pricing
  • They are also being shipped out to insurance clients with a view to supporting
    improvements in distribution techniques
  • Ultimately the project’s value is being proven through better client acquisition and
    retention
  • As proof of success, what started out as a UK only test case is now being rolled out globally
  • We have been able to withdraw from a day to day support role and are only engaged on
    new insight initiatives