The launch of My Licence and the no claims database will be a step change for the industry

Technology is leading the way in the fight against motor fraud, according to speakers at a Chartered Insurance Institute (CII) seminar.

Motor Insurers Bureau (MIB) head of database services Neil Drane said the upcoming launch of My Licence in June, which will put driving records in an online portal, will be a step-change for the industry.

“Things are going to change,” he said. “What we do, the way we ask for information and the way we get it is all on a journey of change. We get away from relying [on the applicant] and we use trusted sources to gain the information.

“We will get a smoother process and a much more appropriate process for the individual, which has to benefit everybody. We will also tighten the net on those that want to take advantage of the insurance process and commit fraud by deliberately manipulating the information.”

MIB chief executive Ashton West said that with 17% of applicants under-declaring the state of their driver’s licence, the database would cut down on fraudulent applications.

More on the way

And there are more technological initiatives on the way to help fight motor fraud.

The no claims bonus database is currently under development and is scheduled to be released for testing in Q4 2014.

Drane said that when the database is fully operational, it will help cut down on application processing times and costs.

“This will cut out the enormous amount of money, time and resources involved in tracing down policy holder’s proof of no claims bonus,” he said. “The cost of doing this in real time through the no claims database is virtually nothing. This is a massive benefit to the industry.”

And Drane said that in the future, more detailed claims history could potentially be included in the dataset.

“Potentially in the longer-term, information that we currently provide via the Claims and Underwriting Exchange on people’s claims history will potentially come through that hub and be provided at point of quote as well,” he said.

The Digital Insurer - 29 April

Insurance Times is holding a half-day event called The Digital Insurer, which will address the key issues facing UK insurers as they transform their business.

Held on 29 April at the Royal College of Physicians in London, the event incorporates breakfast roundtables, special presentations, panel debates and a networking lunch. 

AXA chief executive commercial lines and personal intermediary Amanda Blanc will present the keynote on her vision of digital insurance.

“Digital should and must impact every aspect of the modern insurer from marketing and distribution to claims and underwriting and everything in between,” Blanc said.

“The Digital Insurer is a great opportunity for the market to debate the challenges and opportunities that moving to a digital framework throw up and how we as a market can improve delivery for our customers.”

Other senior panellists include UK General Insurance group chief executive Peter Hubbard, Ageas UK chief executive Andy Watson, and AIG UK and Israel managing director Nicolas Aubert.

Click here for more information.