The Value of Data Services in the Life Insurance Space

In the life insurance space, it’s easy to pigeonhole the idea of data as purely an actuarial or underwriting tool, but modern data services have the potential to streamline and optimize carrier processes across the entire value chain.

This article talks about some of the ways that data is already powering carrier transformation and growth.

Knowing is selling 

It’s widely understood that the more you know about your customers and their needs, the easier it will be to sell to them. In the past, however, what you knew about your customers was limited to a few disparate data points which were often not collected and pieced together until after a sale. In today's highly online world, it’s possible (and even encouraged) to know every detail of customer journeys, behaviors, and desires throughout the entire customer lifecycle. Knowing these granular data points allow for pinpoint accuracy in selling to the right customers at the right time.

The full funnel picture 

Speaking of the funnel, smart data practices have been a boon for funnel performance and economics. That’s because every customer action can be attributed and quantified into actualized cost and potential revenue. Put plainly, funnel insights can help optimize your marketing spend and underwriting costs to maximize revenue, while modern encryption methods help secure data privacy.  Additionally, customers also benefit from being placed in the most optimal product and having a better end-to-end purchasing experience. These aren’t just theories. Bestow has executed these strategies in-market and seen real results for carriers — like, for example, lower per-application underwriting costs and higher policy placement rates. 

The power of predictive models 

Data points alone don’t always provide actionable insights. It’s the combining of data sources, including both first and third-party data, which then begins to build a richer understanding of your customers. When data richness is combined with the power of predictive modeling, organizations can not only optimize the existing inbound customer base, they can also unlock new audiences and revenue sources. 

These are just a few ways that data services can help transform businesses from both ends of the sales funnel, adding efficiency while reducing costs and presenting growth opportunities.