The possibilities to use and exchange data are enormous. Just think of the rise of ChatGTP. Insurers can respond to this with Open Insurance, or data sharing. This concerns data from insurers and gaining access to data from other sectors. Data sharing between insurers and customers offers several advantages:

• Insurers can better assess risks, offer customized products and handle claims more efficiently.
• Customers benefit from personalised coverage, risk prevention and innovative services. This promotes customer satisfaction, efficiency and prevention.

Insurers must handle privacy and security issues very carefully to protect customers' data and comply with legal regulations. The government is working on legislation for data sharing with the starting point that the customer has control over his or her data.

Exploration Open Insurance

In order to identify opportunities and risks of data sharing, INNOPAY has carried out an exploration for the Association. INNOPAY has spoken to insurers, the Ministry of Finance, the AFM and DNB. The Association has used the results to determine a position with a view to upcoming European legislation on Open Data. This is usually referred to as 'Open Finance' in a European context.

The Association believes that an Open Insurance framework should consist of several building blocks, in which non-financial data are also given a place. With the aim of creating an environment in which insurers and other market parties can work together. It is important to monitor the relationship with other relevant European legislation such as the Data Act and the Digital Markets Act. The Open Insurance legislation is planned for 2024.

In addition to the above, the Association focuses on this:

• Scope: Keep the (legal) scope of data sharing small at the start to gain experience. Start with non-life insurance and only then life insurance.
• A level playing field and data reciprocity (emphatically also cross-sectoral) are essential conditions that must be legally guaranteed and maintained in practice: all parties involved must benefit from data sharing.
• Addressing specific risks in the insurance sector: data sharing should not lead to uninsurability.
• API standardization (linking technological systems): lay down in legislation what APIs must meet as a minimum. Its operationalisation should be left to the market.
• If an insurer opts for Open Insurance propositions, the framework applies.
• Ensure a license requirement for Third Party Providers, who develop and distribute Open Insurance products. A financing model should also be developed, whereby new players are obliged by nature and size to finance the framework (not only permit application, but also the ongoing (supervisory) costs).
• It is important that 'hygiene factors' such as the Ethical Framework also apply to parties that are not insurers. Preferably regulated through legislation.
• Launch a testing ground (Regulatory Sandbox 2.0) to experiment with Open Insurance cases and thus remove barriers.