That's a pretty strong assumption. Data that is garbage isn't necessarily going to cause losses. In fact, making the market more opaque (less efficient) will add to profit margins. If all companies are using the same data/algorithm, then even incorrect decisions form a focal point. If all the companies think someone is a bad risk, then that person will end up paying more regardless. Even if one company defects and accurately prices their risk, that company will just lower their rate a little and that customer still won't be getting the rate they would have if full market competition were taking place.