KIA&B July/August 2021 | Page 11

MANAGE TECHNOLOGY & LEAD

WHO OWNS YOUR AGENCY ’ S DATA ?

Things to consider that will give you a better idea of how much control you ’ ll have over your data
By : Rachel Stauffer
In the insurance industry , client data goes through many different touchpoints . Ownership has long been in a tugof-war between multiple stakeholders : the client , whose information it is ; the agency , who collects it ; the carrier , who produces policy data ; the management system , which stores it ; and other third-party technology vendors , who access it . The agent is the primary gatekeeper of client data , but at the end of the day , is your agency maintaining ownership over your data or surrendering it to the systems that house it ?
THE WAR OVER CLIENT DATA Client data is one of the most valuable resources an agency has . They often don ’ t realize they ’ re sharing or even signing away ownership of it to the technology vendors they use . Many of the largest agency management systems and technology providers are being bought out or given investment capital by private equity and big data companies , who spend billions to acquire the aggregated data of the agencies that use them .
Seth Zaremba , owner of Zinc Insurance and creator of its custom-made technology platform , spoke his mind on the topic to Insurance Journal in a recent article : “ Data is extremely valuable to understanding the consumer — and agents — the only people who have relationships with the consumer — are giving that away to our vendors so that they can turn it into revenue . Agents are being farmed by many of these monolithic giants in the industry that now lock us into long contracts and then farm us for our data .”
So what can your agency do to make sure the technology providers you work with aren ’ t taking advantage of the data you ’ ve collected ? It ’ s your duty to advocate for your agency ’ s ownership of data . “ Your agency ’ s data belongs to you until you grant that ownership to another party ,” says Sean Hawkins , Chief Product Officer of HawkSoft agency management system . “ Make sure you choose partners you trust to keep your data safe and to keep your data yours .”
THREE QUESTIONS TO ASK VENDORS ABOUT YOUR DATA How can you tell whether the technology vendors you work with allow your agency to truly own and control the use of your data ? You should ask three essential things when considering an agency management system or any other technology platform that will house or access your client data .
1 . Does the agreement give the vendor ownership of your agency data ? Most vendors will require you to either sign a contract or licensing agreement , or accept their terms and conditions , to use their product . Before taking any agreement with a vendor , make sure you understand whether the vendor is entitled to share , sell , or otherwise use your agency ’ s data without your consent .
If the language is unclear , it could be a red flag that the vendor isn ’ t willing to grant the agency ownership over their data . Ask the vendor for clarification and make sure that you have their stance in writing before accepting an agreement . If the vendor ’ s views on data ownership don ’ t mesh with yours , it may be time to move on .
Another consideration at this stage is who owns or has a stake in the company and their motivations . Suppose
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