Technology based on Artificial Intelligence (AI) has been helping transform a diverse set of industries, with large conglomerates like Apple, Google, Samsung, Fidelity, RBS, and IBM having already shown interest in it. Amazon has likewise launched an AI-based speaker, the Echo, which connects to the cloud and responds to voice commands on everything from managing to-do lists to playing one's favourite songs.
Not surprisingly, the insurance industry also sees signs of promise, with AIG investing in Human Condition Safety, a workplace wearables startup that uses employee data to help prevent injury. As mobile app developers with a constant eye on wider tech trends, we believe this is just the start; in all likelihood, AI will have a major impact on the sector.
Raising operational efficiency
AI can be used to identify quotes and leads with high conversion potential, ultimately reducing turnaround time. The technology can also help companies balance their manpower requirements through taking control of routine tasks.
Augmenting revenue streams
Advances in search, data management, process automation and more mean insurers can now use AI for a wealth of revenue-booting activities, from discovering new product lines across diverse geographies to identifying customer segments throughout the entire world.
Raising the bar for customer experience
AI can take customer experience to previously unimaginable levels, aided by the likes of virtual assistants powered with speech recognition training and NLP (Neuro-Linguistic Programming), making it easier for companies to provide customised products and services.
Cutting through the competition
Insurance firms using AI automatically gain a competitive advantage, staying ahead of the curve through swift adaptation to changes in the sector, including transitions in demographics. Through being able to predict disruption, they earn themselves space and time to design better products and services.
The closing word
To prepare for the introduction of AI-based platforms, the insurance industry would do well to follow a simple three-step strategy:
1. Assess readiness
Senior management must spend time assessing the potential implications of bringing AI on board across different divisions.
2. Embrace the AI platform gradually
Radical changes are likely to bring more downsides than positives if adopted too quickly - which is why insurers should concentrate first on activities requiring automation, agility and innovation.
3. Think about HR strategy
Finally, insurance firms need to consider the skillsets of their staff - and how training can help them adopt the technology with minimal resistance.
Who knows... With so many advantages available to the sector, it might not be long before AI-assisted chatbots are dealing with pretty much everything - even underwriting our claims.
Check out the thoughts of our AI Lead, Dr. Russell Collingham, on Artificial Intelligence's development...