Legal Analysis of Big Data and Analytics in Preventing Discrimination and Protecting Insurance Customers

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Published: 2024-01-20
Keywords:
Big data, Analytics, Insurance, Risk discrimination, Consumer protection, Regulation, Normative jurisprudence

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Bashori Bashori
Universitas Sunan Giri Surabaya, Indonesia
Rommy Hardyansah
Universitas Sunan Giri Surabaya, Indonesia
Didit Darmawan
Universitas Sunan Giri Surabaya, Indonesia

Abstract

The development of big data and analytics has ushered in a new era for the insurance industry in Indonesia. This transformation brings great potential for improving risk management capabilities, process efficiency, and service innovation. However, the use of analytical technology presents legal and ethical challenges, particularly in relation to risk discrimination and consumer protection. This study employs a normative legal approach, analyzing the national legal framework comprising the Insurance Act, OJK regulations, the Personal Data Protection Act, the ITE Act, the Consumer Protection Act, and corporate governance provisions. The results of the analysis confirm that all practices involving the use of big data must comply with the principles of prudence, fair treatment, transparency, accountability, and non-discrimination. Model validation initiatives, audit policies, human-in-the-loop mechanisms, and access to objection are the pillars of maintaining data fairness and security. On the other hand, consumers' rights to privacy, data correction, complaint mechanisms, and remediation are explicitly guaranteed by applicable regulations. With the optimization of regulatory implementation, collaboration between regulators and businesses, and digital literacy among the public, the transformation of the big data-based insurance industry can proceed in line with consumer protection and the value of legal justice.

Article Details

Issue

Vol. 4 No. 1 (2024): Journal of Social Science Studies (JOS3)

Section

Articles

How to Cite

Bashori, B., Hardyansah, R., & Darmawan, D. (2024). Legal Analysis of Big Data and Analytics in Preventing Discrimination and Protecting Insurance Customers. Journal of Social Science Studies, 4(1), 185-192. https://jos3journals.id/index.php/jos3/article/view/305

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