The insurance industry is facing the challenges of disruption caused by the technological advancements in artificial intelligence (AI) and machine learning (ML). Insurance carriers are now able to know more about their customers than ever before. They can use data mining with AI and ML to develop compelling product offerings. Customers may enjoy a more personalized experience that has faster and more accurate claims processing capabilities resulting in vastly improved customer service.
Is your organization prepared to benefit from this technological trend that will ultimately determine its competitive advantage and, therefore, lead to a greater market share? Or, will your company be left behind as these disruptive technologies are embraced by your competition?
The salient points from the debates held during the Sixth Annual Insurance Nexus AI and Analytics USA Summit in 2019 have been compiled into a whitepaper, giving you the opportunity to learn more about this business-critical area. One hot topic that was up for debate was the need to effectively manage a rapidly-changing insurance business, while at the same time maintaining corporate integrity. Innovations in AI and ML fundamentally challenge this process.
Three industry experts weighed in with their thoughts about how innovations in AI and ML are being applied to the insurance sector. These innovations will disrupt the industry with a major transformation of insurance carriers’ operations in the near term and over the next decades. The experts included: 1) Glenn Fung, Chief Research Scientist, AI & Machine Learning Research Director, American Family Insurance; 2) Lee Ng, Vice President for Innovation, Travelers, and; 3) Ted Stucky, Managing Director, QBE Ventures.
Carriers’ operations are improving because the systems are getting better and more efficient. This does not mean that every technology innovation and implementation will be perfect. In fact, demand is driving things to rapidly come to market leaving insufficient time to hold back new systems deployment until everything is perfect. Software development that used to take months, or even years, now benefits from cloud service offerings that allow the deployment of some innovations within weeks.
Ted Stucky, Managing Director, QBE Ventures, QBE, tells how one of his projects was to upgrade medical form information capture that used optical character recognition (OCR) with an AI system to increase claims processing speed. Stucky says, “We wanted to see how quickly we could get it to market. From the initial conversation to the time that it was operationally deployed, it was seven weeks”.
As long as the systems are integrated properly, the technological elements are not at issue. The problems come from the people involved in the business use and their resistance or enthusiasm for using the technology. An important factor to understand is how people will actually engage with the technology, as engagement is critical to have a successful outcome.
Carriers will likely face new challenges, and competition, from sources that they had never considered before. This is already happening through the integration of global financial systems and the bundling of insurance products and service offerings with other financial products. To keep up with all of these trends requires significant agility.
This white paper, Agility Is The Key To Successful AI-Powered Innovation In Insurance, was created in conjunction with the upcoming Insurance Nexus Reuters Events™ conference, Insurance AI and Innovative Tech USA 2020, taking place May 12-13, 2020, at the Radisson Blu Aqua Hotel, Chicago, USA.
Expecting the attendance of over 500 senior analytics executives and insurance industry business leaders, the conference will feature the latest trends in AI-driven technological innovation. Over 60 expert speakers, who are pioneers in AI and innovators in insurance, will share insights about AI and cutting-edge analytics. Attendees will have the opportunity to participate in more than 25 hours of rigorous debates, discussions, and learn from presentations of more than 45 real-world case studies.
For more information, please visit the website: https://events.insurancenexus.com/analyticsusa/