Data analytics examines large amounts of data, also called “data sets”, to unearth hidden patterns, correlations, and other insights within a business. With today’s technology, it’s possible for self-insurers to analyse data and get answers from it almost instantaneously, which usually translates into significant savings by mitigating risks and keeping workers safely employed.
Data specialist Steve Bell, Founder and Director of Crucial Data & Analytics, says data analytics is not simply about moving data around on a screen to produce pretty charts. “It’s about the insights the data provides and its impact on business decision making that is the key to data analytics. Anyone can code, and anyone can create charts, however, to be truly effective you need to understand business fundamentals and the impacts data driven decisions have on efficiency.”
Currently, Steve and his team are producing monthly reports for HIMS Group’s self-insurance clients, change and return-to-work tracking and key performance indicators. “We do monthly dashboard reporting to ensure clients are on top of their self-insurance requirements both from a regulatory perspective and business operational perspective.”
For those self-insurers not embracing the power of data analytics, Steve advises “they really need to take advantage of the information they are already gathering otherwise a lot is being left on the table.”
“Data analytics provides a huge competitive advantage when you know that you can have a direct impact on the costs of self-insurance simply by having the data looked at properly.”
Three streams of data and data innovation
Even in 2021, Steve says there are self-insurers who are not using data analytics, while some are using platforms that are too complex. “We chart a straightforward path, and for HIMS, we provide three streams of data.”
“There’s the financial impact to really understand what the costs are today and where they are trending for the future. There’s the claims management and operational reporting that shows each month how claims are shaping and moving. While the first two are post event, the third-stream ties in preventative measures helping safety teams to mitigate workplace risks and ensure they never happen again. It’s important to have the ambulance at the bottom of the cliff but even better having a solid fence at the top.”
For example, Crucial Data is integrating the floorplans for the sites of one HIMS client into its reporting. “This enables this client to actually look at where the risks are occurring on the floorplans of their operations, and it’s helping them mitigate the risks,” Bell explained. “We like to push the envelope for clients helping them understand interactions within their day-to-day operations.”
Addressing pain points with the three streams approach
Steve Bell says data in the insurance space has always been extremely limited. “In the past, the collation of data has been up to a consultant or internal resource to muster together.
“It wasn’t streamlined. Your HR people used different reporting from the safety team to the finance team, and then ultimately the management reporting.
“Our approach in collaboration with clients to remove the silo approach for self-insurers and bring together safety, finance and HR in one place, which gives a business more visibility and the opportunity to make decisions much faster.”
Steve Bell adds, “We bring an “all of country” approach to analytics and pull all the jurisdiction data together, which helps management with the decision-making processes.
“This is perfect for self-insurers who are usually large businesses operating across multiple states.”
Looking ahead, Steve Bell, says it’s still early days for the use of data analytics in the self-insurance space. “We’re on the start of a journey, and we’re finding that with HIMS Group clients, it starts with a small project and then 99% of the time, it snowballs into broader analysis.”
To find out more about how data analytics can assist self-insurers contact Chris Douglas, General Manager HIMS Group on 0438258729 or email: team@HimsGroup.com.au