Integrating customer service with technology has been an area ofprogress among insurance carriers in recent years and shouldcontinue in that direction, according to Donald light, senioranalyst with Celent.

"This is an area we'll see more improvement as companies makeinvestments in consolidating the information platforms their CSRsuse to make it easier for the CSR and, therefore, better for theperson calling in," says Light.

(Light and Tech Decisions editor-in-chief Bob Hylediscuss customer information management in a podcast found at theTech Decisions Web site. Click here to listen.)

Insurers and independent agents have walked a difficult line incontrolling who owns a customer's data, according to Light.

"Historically companies have been happy with the independentagents owning the relationship, which means owning the data," hesays. "Today, the tools to do things of value for the company andcustomers tend to reside more with insurance carriers than theproducers. If you go to the commercial lines side, there is a trucethat has been declared by the two sides and they recognize thedifference in capabilities in large brokers on one hand andcarriers on the other."

On the personal lines side, some policyholders have legitimateconcerns about the privacy of their information, but Light believesthose concerns are waning.

"I think people are becoming more comfortable--this is a slowsocietal evolution--with larger amounts of their personalinformation being used by corporate entities, but this is an areathat is still evolving," he says.

The value of the data has increased as carriers try to find waysto cross-sell products to policyholders.

"This idea [of cross-selling]has been around almost since thedawn of the industry, but what has changed is the availability andskills needed to use analytic tool-sets and have businessintelligence reporting available for workers and all levels ofmanagement," says Light. "I would also point to the evolution ofCRM. In terms of making real time offers during interactions withcustomers, there is certainly a higher level ofsophistication."