Data Analytics

All too often, we think we're using data to develop a product, but all we've done is build a model to validate our biases.

The bad news because of big data: If you have a profitable niche, everyone else will soon find it. The good news: You can still win.

Insurers must follow the lead of airlines and retailers and use quote data to fine-tune prices and features based on each customer's situation.

Too often, data analysis is an unplanned art, with too many "rabbit warrens" being explored. A disciplined approach is required.

Instead of having data gathering and analytics strewn all over, there will be one location for warehousing and one central source for analytics.

Analytics is housed in a wide variety of places inside carriers -- but where it is now isn't necessarily where it is going to end up.

Data-driven insurers can see which 10% of policies will be most profitable -- and that 50% of earnings come from that small segment.

Major advancements in technology will make new analytics platforms more accessible to insurers, brokers and agencies of all sizes.