I have been reading about how Artificial Intelligence (AI) (and more specifically Machine Learning) will transform the Insurance industry for quite a few years. The difference now is that it is actually happening rather than just being another 'proof of concept'. As the article stresses once these technologies are embedded in an organization's DNA it will become a case of the 'haves' and the 'have nots', where the 'haves' have carefully thought through how this new technology will transform their business model.
We know that AI is a big focus for our clients in 2019 and more importantly the conversations we are having are being driven by the business outcomes rather than just the technology. One area that I have touched on before, and which is fundamental to achieving the outcomes that will drive value is the sourcing and ingestion of the data in the first place.
Building the front-end Analytics model is often not the hardest part of the solution. Tapping into the underwriters valuable data sets is where the real work takes place and is where our clients typically struggle. The ability to build a solution that delivers a tangible business outcome is vital and is at the heart of our approach with clients.
In order to achieve the competitive edge that AI brings we strongly believe in an approach that tackles both the Data and the Analytics together as this is the only way that true value can be derived.
Experts believe AI will soon deliver more accurate risk assessments, superior customer experiences and serious cost benefits for insurers. The insurance industry is investing heavily in the technology, filing 37 percent more machine-learning patents in 2017 than 2016, according to law firm RPC.