Meet The Pros: Lorena Bonilla, Data and Analytics Manager

As Data and Analytics Manager, Lorena is responsible for guiding the firm’s operations in LatAm. She also assists with allocating resources and strategy such as identifying areas for profit improvements.  

But due to the ever evolving and very different nature of data and regulation in LatAm, challenges are inevitable.  

She explains: “I love data. But one of the most important challenges we face as a region is around data quality and what’s available. Data quality presents a mixed picture – one of the main issues being the inconsistent or limited availability of high-quality data. Many operations in the LatAm region lack a comprehensive data collection system because it is outdated.” 

However, this year, LatAm is experiencing a significant boom in data centre investment, and it is estimated to almost double in size in the years ahead, growing from $5bn in 2023 to an estimated $10bn by 2029.  

And it is Brazil, Mexico and Chile that are leading the regional expansion, although countries like Colombia, for example, are still emerging as tech hubs.  

Regulatory disparities  

There are also significant changes or variations in regulation such as Artificial Intelligence (AI), data privacy and cyber security.  

For example, Brazil’s Digital Government law and its central data-sharing platform, which enables data to flow in real-time across government agencies. Likewise, is Chile’s Digital Transformation Law that uses standardised platforms to ensure security and inter-operability.  

Lorena adds: “Secondly, there is also a challenging regularity environment in LatAm, which is highly fragmented with disparities across the region. This in turn can complicate data standardisation and compliance.” 

With AI the region has an opportunity to develop its own approach or follow suit with Silicon Valley – one bonus being that having a set framework attracts investment. 

The European Commission for Latin America and the Caribbean (ECLAC) 2024 Digital Agenda was endorsed by all 33 member countries, and currently regulation across the region remains fragmented with many countries at different stages.  

The most developed framework in the region seems to be Brazil’s draft AI Regulation, which was inspired by the EU AI Act. It aims to introduce obligations following AI system agents, such as an AI system developer – a natural or legal person that developed an AI system, directly or by commission.  

Growing digital transformation  

Technology adoption is another challenge for LatAm as digital transformation across the region is also developing at different paces.  

Lorena says: “While there is growing interest in digital transformation, the adoption of advanced analytical technology is still in its early stages in many parts of LatAm. More work is still needed.” 

And LatAm is somewhat still held back by legacy system challenges.  

She continues: “We have some legacy systems that are not integrated with new technology. It’s a huge challenge. But there is a significant opportunity to leverage digital tools and analytics to improve customer engagement, streamline operations and optimise risk assessment as well as product innovation.” 

Future of data and analytics 

Looking to the future of data and analytics, Lorena believes that it will grow exponentially.  

One highlight of using data and analytics is that it can be used to create highly personalised insurance products, improved customer experience and personal recommendations in claims processing.  

On top of this, it can aid more accurate risk assessments and pricing models as well as improve fraud detection.  

Lastly, she notes the discussions around inclusive insurance in the region made possible by data analytics. For example, insurers can design products for the underserved populations in the region such as low-income individuals, small farmers to make insurance more accessible.