The Accenture Analytics in Action study looked at how different industries are using data and analytics. The study found that while executives in insurance are solidly behind data and analytics, the industry still trails others in using data and analytics across the enterprise.
The good news is that insurers have focused on using data and analytics in particular areas—and those investments are paying off. Let’s look at where insurers are getting the biggest bang for their buck.
Insurers are seeing a return on their analytics investments, but there is room for improvement
As you can see in the first row of the chart, insurers are ahead of the game when it comes to using data and analytics to drive decisions for:
- New product and service development
- Customer retention and acquisition
- Customer experience
And, based on the second row of the chart, it seems insurers are seeing tangible results for these investments. However, when it comes to using data and analytics to drive social media activity and market campaign effectiveness, there is room for improvement.
The study also found that insurers have taken important steps to invest in analytics. Eighty percent have a designated person responsible for data strategy (compared to 66 percent across industries) and 75 percent have had a chief data officer—or equivalent—for more than 12 months (compared to 58 percent across industries).
In next week’s Insurance Chart of the Week, I’ll be looking at whether insurers are using analytics as a predictive or retrospective tool.
- See Part 1 of Insurance Chart of the Week: Achieving Payback in Insurance Analytics.
- View other Insurance Chart of the Week videos.
- Find out more about The Digital Insurer: Achieving Payback in Insurance Analytics (pdf).
How is your organization using data and analytics? Send me an email and let’s discuss your analytics strategy.