1. 2001 Ratemaking Seminar INT-1: Introduction to Data Management 101 Data Standards / Data Quality Joan M. Klucarich Fireman’s Fund Insurance Company

2. Data Standards Who Needs Em and Why? Trading partners such as insureds, insurers, TPAs, vendors, and brokers Various sources use different definitions Need data that is clean and consistent Reduce duplication and cost Numerous indirect benefits Some obstacles remain

3. Data Standards Don’t They Exist Already? Financial services and some retailers use data standards Some insurance standards developed for specific applications Standards are not identical

4. Data Standards Current Working Groups IDMA TPA Data Standards Work Group ACORD ANSI RIMS ISO WC Insurance Organizations (WCIO)

5. Data Standards Current Tools PDRP - GL database for public entities IDMA Claims Data Exchange Standard IDMA Policy Data Element Dictionary IDMA TPA Data Standards White Paper www.idma.org/DS-announce.html

6. Data Standards The Importance of Partnership Membership exchange of ACORD/IDMA Many of the definitions come from existing sources RIMS April 2000 Data Summit RIMS March 2001 Claims Data Standards Meeting

7. ASOP #23: Data Quality Purpose is to give guidance in: –Selecting data –Reviewing data for appropriateness, reasonableness, and comprehensiveness –Making appropriate disclosures Does not recommend that actuaries audit data

8. ASAP #23: Data Quality Considerations in Selection of Data Appropriateness for intended purpose Reasonableness, comprehensiveness, and consistency Limitations of or modifications to data Cost and feasibility of alternatives Sampling methods

9. ASOP #23: Data Quality Definition of Data Numerical, census, or class information Not actuarial assumptions Not computer software Definition of comprehensive Definition of appropriate

10. ASAP #23: Data Quality Other Considerations Imperfect Data Reliance on Others Documentation/Disclosure