Insurers have been transitioning from a “policy-centric” approach to a “customer-centric” strategy and the foundation of this transition has been data.  We will review some of the recent initiatives we have been working on with our clients and discuss how they are leveraging data to support their digital-first business strategies.  Examples include the ability to better understand customers and market opportunities, improve the customer experience, accurately identify risk and optimize pricing, promote wellness, and leverage data to perform analytics at scale.

1. Digital Acceleration
In Insurance
Ben Matarese, Director, Insurance Practice

2. Digital Acceleration In Insurance
Digital Acceleration In Insurance
2
Data Is the Holy Grail
Data critical to innovation in
insurance
Data provides greater insights into
customer behavior and requirements
Use of data delivers a more flexible
business model to serve digital
customers
- Insurtech Trends for 2019, KPMG
Technology Dimensions of the
future Business Model
• Analytics Enabled
• Operationally Agile
• Technology Powered
• Data Centric
Enrich customer-facing digital
experiences for increase
personalization
Accelerate digitization initiatives
- Next Wave Life Insurance 2020, EY
Accelerating Industry Change
Greater focus on promoting healthy
lifestyles, vitality, and wellness
Leveraging AI to provide to change
consumer behavior and patterns
Data analysis will translate into
personalized insights and interventions
for patients, and patients accessing
these insights
- 2021 Global Health Care Outlook, Deloitte

3. P&C
Health
Life
7%
Insurtech Investments
Digital Acceleration In Insurance
3
8%
5%
9%
10%
8%
5%
6%
2%
2%
3%
4%
3%
17%
11%
Product
Development Marketing Claims
Distribution Pricing
< 5% 5 – 10% > 10%
Digital Disruption in Insurance: Cutting Through the Noise
McKinsey, 2021

4. Data Integrity in Insurance
Data
Integration
Data
Enrichment
Location
Intelligence
Data
Quality
Accurate View
of Risk
Personalized, Digital
Customer
Experience
Data Governance
• Pricing Accuracy
• Reduce Risk
• Pre-score rates
• Aggregate Risk Analysis
Underwriting/Actuary
• Machine Learning
Models: Improve
efficiency, timeliness
& quality
Data Science
• Manage Claims Resources
• Improve efficiency
• Improve customer service
• Fraud Determination
Claims
• Market Segmentation
• Cross Sell
• Customer Experience
• Agency Optimization
• Behavior Modification
Marketing/LOB
Digital Acceleration In Insurance
4
Data Infused
Analytics

5. Digital Acceleration
In Insurance
Customer
Growth
Customer
Experience
Risk
Assessment
Cloud
Transformation
Digital Acceleration In Insurance
5
Risk &
Compliance

6. Customer Growth
Market & Agent Assessment
Data Driven Insight Anyone Can Use
• Market Assessment
Prioritize target markets for new and in-fill/growth
Agent Network Optimization
• Performance Benchmarking
Set revenue targets based on observed market
opportunities
• Empower Data Science via an extensible framework
Precisely Propensity Models
Client Models
• Point & Click Reports
Digital Acceleration In Insurance
6

7. Customer Growth
Relationships in Data
Challenge Result
• Support new growth strategies
• Cross sell and Up Sell
• Acquire new customers & agents
• Achieve a 50/50 revenue balance
between CL and PL
Objective
• Who are my best customers?
• How do I identify “like prospects”?
• What relationships exists between
policyholders, policies, households,
commercial entities & locations?
• Can I get insight in a short period
of time?
• Is it possible to align Agent &
Customer Profiles?
• Quickly analyze and prospect into
desired markets
• Simplified view of complex
relationships
• Identify personal lines policyholders
that own businesses
• Aware of all businesses at a
location beyond existing PIF
• Able to align agent and
client/prospect profiles
Aggregate
Explore
Increase
ML Model
Accuracy
Faster &
Better
Decisions
Derive Insights
& Context
Data
Relationships
7
“Operationalizing data across the business is our biggest challenge”
VP Predictive Modeling & Global Actuarial Data Services
Global Precisely Insurance Client
Digital Acceleration In Insurance

8. Customer Engagement
Consumer Data Enrichment
Challenge Result
Objective
• Growth goals supported a series
of marketing campaigns using
email, web social media, etc.
• Need to understand and
recognize both customers and
prospects in real-time
• Use customer understanding to
inform their interactions; e.g.,
what to say and how to
communicate
• Customer data was consistently
incomplete
• Could not easily and accurately
resolve identities with confidence
• Prospects & customers interacting
across multiple channels over time
• Marketing lists vary in quality and
completeness
• Able to complete and validate
their existing customer profiles
• Profiles can be enriched with
additional insight including
demographic, social, employment,
location and more.
• New client or prospect data,
regardless of source, is now
verified, enriched and scored (for
accuracy and completeness) in
real-time.
Digital Acceleration In Insurance
8

9. Customer Engagement
Enrich & Complete Customer Profiles
INBOUND CHANNEL
WEBSITE APPS
RETAIL
STORE
SOCIAL
CUSTOMER
CARE
LOYALTY
Housing
123 Main Street
Single Family Home
Homeowner
Mortgage $ 200K
Home Value: $ 250K
Phone
Mobile:
202-555-6347
Mobile:
703-263-4532
Landline:
703-444-3111
Email
jdoe@gmail.com
John.doe@comcast.net
jd123@yahoo.com
Demographics
45 Years Old
Male
Married
Children
Does Not
Have
Children
Yes, Alive
Alive Automobile
2016 Toyota Corolla
1HGBH41JXMN109186
Hybrid
360 IDENTITY
Social Profiles
Digital IDs
Cookies,
Mobile IDs
Emails
BSB and B2C
Phone Name
Location,
Postal
Affinities,
Demographics
Relationships
LOCATION
Denver
@GMAIL
s.miller5
PHONE
2
@YAHOO.COM
sam.miller
DEVICE IDS
3
OCCUPATION
writer
INTEREST
gardening

10. Customer Engagement
Personalized, Interactive Video
Objective
• Improve customer engagement
• Educate clients
• Encourage digital attachment during the customer
onboarding process
Challenge
• Complex terms and coverage information
• Communicate policy details across a variety of products
(auto, homes, rental properties, and umbrella coverages)
• Increase “digital attachment” via MyAccount and mobile app
• Align digital initiatives with Agent Network
Result
• 66.5% of recipients average view time of 3 minutes
• 41.1% of all visitors watched the entire video
• 16.4% of all visitors accessed MyAccount via the video
Digital Acceleration In Insurance
10

11. Assign a trusted ID
that is unique and persistent
to each address.
Assign a
Trusted ID
Achieve the highest level of
address integrity and
positional accuracy.
Hyper-Accurate
Geocode
Use the ID to build a
contextual view of a
location for better insight.
Operationalize
Your Addresses
Precisely Location-Centric Approach
Operationalize Context & Insight
Digital Acceleration In Insurance
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12. 12
Data Provider
9115 Country Wood
Plymouth, MI 48160
Reinsurer
9115 Countrywood St.
Plymouth Township, MI 48170
Insurance Carrier
9115 countrywood dr.
Plymouth, MI 48170
Precisely Location-Centric Approach
“Minor address variations like misspellings or abbreviations were causing small
differences in the information used to price policies and undermined the ability to
develop an aggregate view of risk”
Top 30 P&C Carrier

13. Street
Address
City, State Postal Code PreciselyID Longitude Latitude Location
Code
Property
Indicator
440 Louisiana St Houston, TX 77002-1639 P0000M3OMLT9 -95.3648 29.76276
Within Building
Structure
Commercial
(Condominium)
PreciselyID Flood Risk Wildfire Risk Wind Risk Hail Risk Tornado Risk Hurricane
Risk
Distance to
Coast
P0000M3OMLT9 Moderate None Medium Medium High Medium 25249.029
PreciselyID First Name Last Name Household
Income Est.
Automobile Lifestyle People in
Household
Email
Address
P0000M3OMLT9 Jonathon Smith $ 200,000
2009 BMW 325i
VIN:
WBGDG83649A005289
High Tech
Enthusiast
Active Investor
4 jsmith@gmail.com
Precisely Location-Centric Approach
“”Precisely makes location data model ready” Data Scientist, P&C Carrier

14. 2250 OLD BRICK RD
GLEN ALLEN, VA 23060
PID: P0000NH4IJ4P
BID: B000CTPPRWG7N
3910 GATHERING PL
GLEN ALLEN, VA 23060
PID:P0000NH5VH3I
BID:B000CTPRWG7N
3939 Duckling DR
GLEN ALLEN, VA 23060
PID: P0000NH4IJ4M
BID: B000CTPPRWG7N
“The PreciselyID is the golden thread that ties all things together”
Innovation Consultant, Large P&C Carrier
Risk Assessment
Co-Tenant & Adjacent Risk
Digital Acceleration In Insurance
14

15. • Support for by-peril rating
• Consistent view of risk with
their reinsurer
• Better understanding of
risk/pricing to support
growth into new states
• Aggregate view of all known
properties including claims
experience
• Data from multiple providers
including geocoding &
address validation
• Different business functions
and systems using different
data
• CAT Modeling team had
different view of risk than
reinsurer
• All insight and policy
details, including claims,
linked by a PreciselyID
• Hyper-accurate geocode
leveraged across all LOBs
and business functions
• Consistent view of risk
across the business and
with reinsurer
“We saw a 200% swing in our exposure
estimates and a 15% increase in the number of
locations geocoded using Precisely’s
capabilities”.
VP Risk Management
Large P&C Carrier
5707 45th Street E, Lot 234
Bradenton, FL 34203
Risk Assessment
Consistent View of Risk
Challenge Result
Objective
15 Digital Acceleration In Insurance

16. Policy
Holder
Insured
Value
Premium PreciselyID Longitude Latitude Property
Type
Hail Size
John Martin $28,007 $ 1,124 P0000M3OMLT9 -95.3648 29.76276 R >= 3 in Hail
• Binding Suspension
• First Notice of Loss
• Claims Resource Positioning
• Risk Forecasting
• Fraud Determination
• Pricing/Underwriting
Risk Assessment
Natural Catastrophe
• API Access
• Integrated with PreciselyID
• Client configurable thresholds
• National Coverage
• 3 Integrated Fire Models/50 Risk
Designations
• Detailed Weather Data
• Reports & Alerts
Digital Acceleration In Insurance
16

17. • Increase share of high net-
worth properties
• Reduce risk in states with
incidents of wildfire
• Write profitable business in
states with incidents of wildfire
• Wildfires are an increased
and continued threat
• Carriers lost over $ 2B across
1,500 + properties within the
Woolsey fire perimeter
• Existing Wildfire model did not
accurately reflect actual
behavior
• Link all known information
about a property in a Wildfire
zone
• Profitably write 190 policies
within the Woolsey fire
perimeter.
• Declined to write 30 policies
• Leverage PreciselyID to link fire
scores, aerial imagery and more
• No total losses but some loss for
smoke damage, outbuildings
and fences
Risk Assessment
Natural Catastrophe
Challenge Result
Objective
Digital Acceleration In Insurance
17

18. Risk & Compliance
Digital Acceleration In Insurance
18
• What Personal Data do you hold?
• What are you doing with it?
• Do you have permission to use it?
• Who has access to it?
• Where is it stored?
• Consumers have power!
– Data is wrong – fix it
– Erase my data
– What do you know about me?
• GDPR
• HIPPA
• AML
• FACTA
• KYC & KYCC
• The California Consumer Privacy Act
(CCPA)
• State of CT Notice Concerning Big Data
& Discriminatory Practices

19. Digital Acceleration In Insurance
Risk & Compliance
Operational Governance
19
Provider Network Analysis & Adequacy
• Address Data Quality
• Precise Location
• Exact Travel Time
• Distance Between Locations
• Transit Data

20. IT Security & Operations Mgmt
Cloud Data Warehouses
Cloud Platforms
Big Data
Data Integrity Supporting any Data Architecture
Mainframe & IBM i
Analytics/ML
Traditional Enterprise
Data Warehouse
Hadoop
Integrate
Business Intelligence
Cloud Stores
Enterprise Sources
Verify Enrich
• Replication
• Real-time
• Batch
• ETL
• Virtualization
• Discovery
• Cleansing
• Entity
Resolution
• Governance
• Knowledge
Graph
• Geocoding
• PreciselyID
• Property
attributes
• Demographics
• Consumer
insights
Data that is Accurate, Consistent and in Context
Digital Acceleration In Insurance
20

21. • Every Addressable
Location in the US is pre-
scored – over 200 MM
• Leveraging Precisely,
internal and 3rd party
data – over 9 Billion rows.
• More accurate pricing
• Meeting promised SLAs
• Nationwide growth initiative
• Grow while managing financial
risk
• Pre-score every address in the
country and make it highly
available to their Policy Admin.
System
• Enable all agents and
customers to be able to obtain
a fully priced and underwritten
policy quote in less than 2
minutes.
• Massive compute environment
to process entire country with
speed and scale
• Leverage a significant amount
of data from a variety of
sources
Cloud Transformation
Challenge Result
Objective
Digital Acceleration In Insurance
21

22. Digital Acceleration In Insurance
Cloud Transformation
22
• Looking to extend/improve healthcare analytics
and business intelligence
• Minimize the number of vendor applications to
establish a data integrity/ data management
foundation
• Create a process to continually “onboard” data as
well as maintain a data catalog
• Leverage Machine Learning enabled Data Quality
and Matching
• Planning to include “location” to enrich their data
Future State Health Model
Deloitte Consulting

23. Digital Acceleration In Insurance
Addresses & Digital Acceleration
23
Home Drug
Delivery
Delivery Errors
result in significant
costs and
potentially
dangerous gaps in
care
Provider
Directories
Providers work for
multiple locations
and often have
different billing
addresses
Change locations
frequently
Consumer
Marketing
Enable Direct Mail
Provide Linkage to
other data to
enable
personalized
engagement
Compliance
Every EOB
delivered to the
wrong address is
wasted spend and
a security breach
Analytic
Models
From Social
Determinants of
Health to market
projections,
models require
accurate location
data

24. Digital Acceleration
In Insurance
Customer
Growth
Customer
Experience
Risk
Assessment
Cloud
Transformation
Digital Acceleration In Insurance
24
Risk &
Compliance
Data
Integration
Data
Enrichment
Location
Intelligence
Data
Quality

25. Thank You!