The UK Data (Use and Access) Act 2025 (DUAA) gives insurers the green light to turbocharge marketing and customer engagement, but they can only capitalise with a fresh, data-led strategy, says data intelligence company Sagacity.
With the Act now passed into law, key regulations – including the UK General Data Protection Regulation (UK GDPR), the Data Protection Act 2018 (DPA), and the Privacy and Electronic Communications Regulations (PECR) – will be amended over the next 12 months. These updates will legally clarify the use of ‘legitimate interests’ as a lawful basis for direct marketing.
Andrew Bridges, Data Quality & Governance Manager at Sagacity, and Member of the DMA Governance Committee, says: “This is a gold rush: the Act opens a once-in-a-generation opportunity for marketing and customer engagement. Until now, around half of businesses have been nervous and unclear about whether they could process customer data under ‘legitimate interest’ – and with the risk of damaging fines, it’s easy to see why. The DUAA changes that, giving businesses the legal clarity to use data confidently, whether that means reconnecting with lapsed customers or reaching new audiences. With regulatory updates imminent, now is the time for businesses to get ready to act.”
To seize the opportunity, the data expert Sagacity advises businesses to build a robust, data-driven strategy for marketing and customer engagement that includes:
1. Laying strong foundations – including establishing clear audit trails and properly permissioned records. DUAA will ramp up PECR penalties to the same level as UK GDPR (£17.5 million or 4% of annual worldwide turnover, whichever is higher), making it more important than ever to understand and respect customers’ marketing preferences.
2. Gaining fresh insight from third-party data – businesses can now confidently process third-party data to identify new prospects, and supplement existing customer records, under the lawful basis of ‘legitimate interest’. Enriching databases with fresh insights like household makeup, address changes or working status can help understand why customers have lapsed, and open upsell opportunities.
Bridges, who contributed along with the Data & Marketing Association ( DMA) membership helped shape DUAA by engaging with Ministers and Peers as Chair of the Data and Marketing Association’s Data (Use and Access) Bill Taskforce, adds: “The opportunity is huge – but businesses must rethink how they handle customer data or risk falling behind. Although compliance comes into the spotlight under the Act, businesses don’t just need to think about their own data. To really take advantage, they need a hybrid approach, mixing existing records with third-party insights. This can drive smarter, more relevant engagement with both existing and potential customers – making a tangible impact on the bottom line.”
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