Transforming insurance through data collaboration

The insurance industry sits on a treasure trove of data – from customer demographics, driving behavior, claims history, and beyond. But this data remains largely untapped due to traditional, siloed methods of storage and analytics. At Arity, we believe the key to unlocking its true potential lies in secure and collaborative data sharing based on a privacy-centric framework.

The urgency of data collaboration

Today’s insurance landscape demands a data-driven approach. Rising repair costs, the transition to electric vehicles, and distracted driving all contribute to an increasingly volatile risk environment. Legacy systems that insurers have relied on struggle to keep pace, hindering accurate risk assessment and personalized insurance offerings. Moreover, navigating all the regulatory requirements along with cybersecurity and privacy issues can be challenging even for the biggest insurers.

Data sharing for faster innovations and a better future

Anticipating a future that is brimming with new possibilities through the use of telematics data, cloud computing, and generative AI, Arity announced last October the plan to bring its telematics dataset to Google Cloud. By leveraging Google Cloud BigQuery and Analytics Hub, significant advancements through data-sharing are finally within reach.

Here’s how this partnership with Google Cloud can benefit our customers:

• Personalize insurance: Imagine a future where premiums reflect actual driving behavior, not just demographics and credit rating. Google Cloud BigQuery empowers insurers to personalize offerings, promoting fairness and affordability.
• Enhance safety measures: Analyzing driving data trends helps identify risky behaviors, allowing insurers to implement targeted safety programs and create a safer driving environment.
• Unlock new services: Telematics data, combined with other sources, can create a holistic view of mobility patterns. This paves the way for innovative services that complement usage-based insurance and connected car solutions.

Takeaways from Google Cloud Next 2024

To learn more about what the future in data sharing might look like, my colleagues and I joined approximately 30,000 people from around the world at this year’s Google Cloud Next in April. Held in Las Vegas for the first time, this three-day conference included 400 sessions on topics ranging from cloud infrastructure to generative AI.

At the conclusion of this event, I’m left with three clear takeaways on how insurance carriers can leverage data sharing as a key competitive advantage:

#1 Reduce friction in data access and analytics

Organizations have relied on a variety of tools and techniques for data ingestion, cleansing, processing, and analytics. As the types and the sources of these data increase, it is more challenging to extract actionable intelligence from various data silos. Google Cloud BigQuery, which is a fully managed, AI-ready data analytics platform designed to be multi-engine, multi-format, and multi-cloud, enables our customers and tech partners to quickly and cost-effectively extract valuable insights to drive business strategy and outcomes.

#2 Use data where and when you need it

We understand that every insurance carrier has established its unique data strategy and infrastructure.  Instead of a one-size-fit-all approach, through Google Cloud BigQuery, Analytics Hub and cross-cloud analytics solutions such as BigQuery Omni, Arity can help our customers and tech partners to develop a tailored data strategy to meet their business needs quickly, securely, and cost-effectively.

Tap into the power of generative AI

One of the many exciting applications of generative AI for the insurance industry is to make the claims process easier by combining video, images, and text inputs. Many more will soon become a reality for those who dare to dream big. Having the industry-leading telematics data available in Google Cloud BigQuery is a key first step. With Analytics Hub, our customers and technology partners can utilize the private data exchange (AKA data clean room) to exchange data securely. Using both solutions, our aim is to promote further collaboration which in turn can foster more innovations. One of the most insightful things I learned from a session about data sharing and AI is this: the power of generative AI will be fueled by data, while the full potential of data can finally be unlocked by generative AI.

A call to action

Data holds immense value, and sharing it securely unlocks new opportunities. As cloud computing and generative AI evolve, the quality of data becomes even more critical for future success. We believe easier data sharing of Arity telematics data will pave the way for the emergence of novel applications and data-driven services for automotive insurance carriers.

Our collaboration with Google aligns with our company’s goal of making transportation smarter, safer, and more useful for everyone. Join us in this journey as we leverage the power of Google Cloud BigQuery to unlock the transformative potential of data sharing.

To learn more about how Arity’s industry-leading telematics data can benefit beyond insurance, retail, and public sectors, contact us today.