At ITC Vegas 2024, the sessions this year had a huge emphasis on how the insurance sector is rapidly advancing the ways in which they use AI. There’s a major shift happening where theoretical possibilities are turning into real-world implementations, and this is becoming evident in many ways. Below are three key takeaways from ITC Vegas on how the insurance industry is moving forward with AI:
Progressively Imbed AI Throughout the Insurance Lifecycle
AI is expected to be embedded throughout every stage of the insurance lifecycle, enhancing nearly all business functions over time, from product & pricing to policy issue processes to customer support and with back-office functions such as financial & actuarial services. With real-time analytics and insights seamlessly integrated into business systems, AI promises to drive significant gains in productivity and revenue. To maximize impact, AI models must be designed with reusability in mind, ensuring they can adapt and evolve as the industry’s needs grow.
Intelligent Document Processing
AI-powered document processing has a huge potential for accelerating decision-making across the insurance lifecycle. There are many opportunities for AI to ingest, interpret and provide insights of documents enabling a human operator to make faster ‘next step’ decisions (and avoid having to read and interpret lengthy and complicated documents):
- Underwriting
- Claims
- Customer Service
- Compliance
This also includes using AI for initial ‘task’ triaging for automated routing to the appropriate work queue/team.
Personalization of Product & Pricing
The insurance industry is embracing AI and data to personalize products, pricing, and services, offering clients tailored solutions that go beyond traditional models. This approach represents a shift from fitting customers into standardized offerings to dynamically building products around each individual. Plus, through Internet of Things (IoT) like telematics, safer driving routes and health tracking, it helps clients be aware of and avoid the specific risks they’re insuring against, which is a win-win if claim events are avoided. With customers increasingly expecting unique, tailored experiences, AI can help insurers meet these personalized demands and gain a competitive advantage.
The 2024 ITC Vegas conference underscored AI’s growing role in every facet of the insurance industry. From optimizing productivity, enhancing customer experiences and the potential for unlocking new revenue opportunities, AI is set to truly revolutionize the capabilities for insurance organizations and policyholder experiences alike.
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