March 26, 2015 by Angela Stelmakowich, Editor
“Data is a major enabler in innovation in new products and markets,” demanding that mutuals commit to developing a data strategy, John Taylor, president and CEO of the Ontario Mutual Insurance Association (OMIA), said Thursday.
Mutuals must continue to make investments in data-based systems that allow use of analytical tools, continue to work together to pool their data, and look for opportunities to standardize and improve data collection on every level, Taylor told attendees of OMIA’s annual general meeting in downtown Toronto.
“It’s increasingly clear that the future of the North American consumer economy – not just the insurance economy – is focused on collecting information about consumers based on their buying patterns and demographic profile,” he said.
There is a difference between statistics and data, Taylor explained. “Statistics are really what we collect to report to and satisfy regulators, while data is what we collect to understand our interests and make sound decisions,” he noted.
Taylor (pictured right) told attendees that OMIA’s focus is moving more to the data side of the equation. “With insurance products, this reliance on consumer data is even more significant because insurance is based on probabilities, and the more data we have, the more predictive we can become. This allows you to underwrite and set premiums with greater skill. This ability is already becoming a game-changer in Canada,” he said.
Taylor pointed out that two of the most innovative insurance products introduced in the marketplace – telematics and flood insurance – are almost completely data-driven products.
Acknowledging that mutuals have made major investments in the collection and analysis systems for statistics and data over the past several years, more still needs to be done.
The focus must be on improving the “data collection profile so that we can use our aggregated data across all of the mutuals,” Taylor said. “By aggregating our data as a system, credible and reasonable information can be analyzed and used to improve both individual and company performance, and performance across the system,” he emphasized.
Deb Van Eyk, outgoing chair of OMIA’s Board of Directors, noted that technology holds a lot of promise.
“Technology is the enabler for us to deal with the customer in the manner that they want,” Van Eyk told attendees. “But we also need the power of people, that human element, that human emotion,” she emphasized.
“I think that really is the key for us going forward and what makes the future so powerful, developing that customer-centric mentality. What do our customers want from us? How can we best harness technology to deliver on it?” she said.
@OntarioMutuals reliance on data key focus to improve performance of individual company & the mutual system pic.twitter.com/vH38ElvurY
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
133rd @OntarioMutuals Annual General Meeting pic.twitter.com/8qvYlS8Mtm
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
Work cooperatively work collaboratively Gregg Dykstra @OntarioMutuals @NAMIC pic.twitter.com/veoF9giOuV
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
The Policyholder is our foundation chair elect Allan Hedley @OntarioMutuals AGM
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
Integrity, Trust, Value Harmonized in Action is Allan Hedley’s theme for upcoming year. pic.twitter.com/ZOwzvIMFJt
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
@insurancebarbie enjoying the OMIA convention @OntarioMutuals with @Cmdr_Hadfield pic.twitter.com/4donbuWbzl
— Van Allen Insurance (@VanAllenIns) March 26, 2015
@Cmdr_Hadfield @OntarioMutuals Thanks once again for the autographs. pic.twitter.com/Y4JAVPOVRo
— Dean Colpitts (@DeanColpitts) March 26, 2015
You CANNOT see the great wall of China from space, but you CAN see the 407!~Chris Hadfield @OntarioMutuals convention.http://t.co/1TrRB8JgEA
— Grenville Mutual (@GrenvilleMutual) March 26, 2015
‘The Future Is Powerful’ message by Colonel Chris A. Hadfield @OntarioMutuals . An #astronaut and amazing #Canadian
— Bill Walker, MPP (@billwalkermpp) March 26, 2015
The incredible gift to yourself is the vision of what perfection will be. @Cmdr_Hadfield @OntarioMutuals AGM keynote speaker
— Sharon Isherwood (@rahrah23) March 26, 2015
Mutuality began 1696 in England Gregg Dykstra @OntarioMutuals @NAMIC
— Sharon Turnbull (@SharonLTurnbull) March 26, 2015
Pleasure to be a guest of #trillium #insurance at @OntarioMutuals Annual Convention with @LisaThompsonMPP @SteveClarkPC @RandyPettapiece
— Bill Walker, MPP (@billwalkermpp) March 26, 2015
133rd annual OMIA convention starts today as the mutuals take over Toronto. pic.twitter.com/Z2ULpjLiKz
— John Taylor (@omiajt) March 25, 2015
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