EU regulators demand crackdown on big data

Regulators want new rules to monitor collection of financial info that could pose risks

Big data

The EU has called for a revision of the rules that monitor the growth of big data, including how it's used and collected, to ensure information that could pose security, privacy and accountability risks is protected.

Although Gabriel Bernardino, chairman of the European Insurance and Occupational Pensions Authority (EIOPA) accepts big data analytics is reshaping business how we know it, regulators are concerned it could have a knock-on how potential customers are judged by firms.

Advertisement - Article continues below

"For example, consumers seeking household insurance for properties located in areas exposed to high risks such as floods, earthquakes or crime may have to pay very high premiums or might not be offered an insurance coverage," the EU banking, insurance and markets regulators said in a joint statement.

They launched a public consultation that will pool together the benefits and risks for customers when it comes to analysing the information companies hold about them.

Much of this data is collected from mobile phones, the internet and other sources (including businesses a customer has an existing relationship with), then analysed to suggest relevant products and services they should consider.

Although this big data is currently regulated as part of wider data protection rules including competition and consumer protection, there aren't any specific regulations that apply to the financial sector. The three financial regulators would, therefore, like financial firms and data providers work together more effectively to ensure the customer's best interests are considered.

Advertisement
Advertisement - Article continues below

"Big Data may lead to better and more informed decisions, more efficient processes and more appropriate services," the statement continued.

A report regarding how they think big data should be managed in the financial services industry will be revealed in 2017.

Featured Resources

Staying ahead of the game in the world of data

Create successful marketing campaigns by understanding your customers better

Download now

Remote working 2020: Advantages and challenges

Discover how to overcome remote working challenges

Download now

Keep your data available with snapshot technology

Synology’s solution to your data protection problem

Download now

After the lockdown - reinventing the way your business works

Your guide to ensuring business continuity, no matter the crisis

Download now
Advertisement

Recommended

Non voyage: Coronavirus, Brexit and the future of business travel
Business strategy

Non voyage: Coronavirus, Brexit and the future of business travel

1 Jul 2020
UK data laws after Brexit: Your questions answered
General Data Protection Regulation (GDPR)

UK data laws after Brexit: Your questions answered

30 Jun 2020
Social media and the death of truth
social media

Social media and the death of truth

29 May 2020
Google to shift UK user data to the US post-Brexit
data protection

Google to shift UK user data to the US post-Brexit

20 Feb 2020

Most Popular

How to find RAM speed, size and type
Laptops

How to find RAM speed, size and type

3 Aug 2020
How to use Chromecast without Wi-Fi
Mobile

How to use Chromecast without Wi-Fi

4 Aug 2020
How do I fix the Windows 10 Start Menu if it's frozen?
operating systems

How do I fix the Windows 10 Start Menu if it's frozen?

3 Aug 2020