PwC Insurance Facts and Figures 2011 - PricewaterhouseCoopers

• Have you assessed the efficiency and cost-effectiveness of your current data and systems
architecture and processing?
• Do you have a way to measure and report on data quality as well as to identify, investigate
and remediate data quality issues?
• Do you actively monitor and independently assess the effectiveness of your data quality
controls?
• Do you place reliance for data quality on controls in the actuarial process?
Figure 2: A framework for managing data quality
• Identify the key data used by the business
• understand all stages of the data life cycle
• Identiy and assess relevant risksinternal
and external.
Data lineage
What is the key
data the business
relies on and
what risks is that
data exposed to?
• Provide organisational commitment
• Design and implement quality controls
to mitigate the key risks
• Assign accountabilities for data
quality activities
• Link data quality controls to KPIs and
measure KPIs and measure performance.
• Undertake routine data profiling activities to
look for unexpected/unusual data
• Ongoing measurement and reporting of the
status of data quality to report trend and
key areas for focus.
Prevention
strategies
Detection
strategies
Have you implemented
the right procedures
and controls to help
mitigate these risks?
Do you have
mechanisms to detect
anomalies in the data?
Continuous Improvement and change
• Culture
• Change
management
• Stakeholder
engagement
• Metrics and
measurement
• Continuous
monitoring
• Independent
assessments.
• Establish mechanisms to identify and
manage data quality issues, incidents and
responses
• Establish change control measures
• Conduct regular independent valuations.
Process
Improvement
People
Do you have a way to
track progress, manage
change as well as identify,
investigate and remediate
data quality issues?
Governance
Conclusion
• Data is the lifeblood of an insurance organisation, but there are many challenges and
risks in getting the data right. Typically many parties, processes, systems and data flows
exist, with the weakest link in the chain determining the ultimate data quality.
• Being in control of your data will help you protect current value and reputational risk,
support the improved performance of the business, and deliver future value.
• Issues with data will continue to arise unless a solution is adopted which establishes the
right governance, risk management and controls over the key data used by the business.
PwC Contacts
Robin Low
t: +61 (2) 8266 2977
e: robin.low@au.pwc.com
Sheetal Patole
t: +61 (2) 8266 3977
e: sheetal.patole@au.pwc.com
Insurance Facts and Figures 2011 23