New Insights Summer '18 Article: Insurers’ Reliance on Big Data: What Does It Mean for Insurance Regulation?
While insurers’ use of sizable quantities of information is nothing new, insurance regulators have shown increased interest in the ever-expanding use of new kinds and large quantities of data that may be referred to as big data. This article reviews areas of concern surrounding this topic, as noted by some regulators, while also citing potential consumer benefits and the concerns of industry representatives regarding how regulators may address insurers’ increased use of information in more complex and sophisticated ways going forward.
The United States has the largest and most competitive insurance market in the world.
In fact, twenty-three of the individual states rank in the top fifty largest insurance markets globally. And the country’s regulatory regime, through which individual states regulate the industry for solvency and market conduct with the coordination of the National Association of Insurance Commissioners (NAIC), boasts a strong track record for protecting consumers while promoting competition.
PERSPECTIVE—Getting to Know You: New NAIC Corporate Governance Law to Illuminate Insurance Companies’ Practices
The original version of this article, which has been edited here for use in Insights, ran in the summer 2015 edition of Your NY Connection Magazine, a publication of the New York Insurance Association.
It is flattering, is it not, when people are interested in what you do? “Tell me more,” they say, as you glow with pride and satisfaction. “Please give me details.”