CII launches cross-sector taskforce to improve vulnerability data sharing standards

The Chartered Insurance Institute (CII) has launched a cross-sector vulnerability data sharing taskforce to help reduce the number of repeat disclosures required of vulnerable customers across the distribution chain.

The initiative responds to concerns that vulnerability-related information is not consistently shared across the financial services distribution chain.

It brings together representatives from insurance, personal finance, technology, academia and professional bodies to develop practical solutions.

The taskforce met for the first time in late May to discuss how improved information sharing could help firms provide more consistent support and reduce the need for customers to repeat sensitive information as they move between insurers, brokers, advisors and service providers. 

Matthew Hill, chief executive at the CII, said: “Customers should not have to disclose sensitive information repeatedly.

“By bringing together expertise from across insurance, personal finance and beyond, this taskforce will help develop practical, sector-wide solutions that strengthen consumer trust and improve outcomes for people in vulnerable circumstances.”

‘Next phase’

During the first taskforce meeting, it was noted that UK GDPR should act as the vehicle for responsible data sharing where there is a lawful basis, transparency, purpose limitation and appropriate governance.

The greater challenge addressed was the absence of common standards, shared terminology and practical mechanisms across the distribution chain.

As a result, three working groups were established, focusing on creating a vulnerability data dictionary, market adoption and engagement and data standards and governance, in which work will centre on practical use cases and measurable customer outcomes.

Hill added: “The next phase of the programme will focus on developing the vulnerability data dictionary, progressing the supporting data standards and governance framework and validating the approach through a practical insurance use case.

“Together, these outputs will help build the evidence base needed to support wider market adoption and improve outcomes for customers in vulnerable circumstances.”