Artificial Intelligence Trends in 2020 and the Insurance Industry

More than a fifth (22%) said the chatbot was unable to resolve or answer their query. Chatbots process text (a process known as “parsing”), before responding according to a complex series of algorithms that interprets the meaning of the enquiry. With the application of Artificial Intelligence (AI), this process chatbots for insurance agencies has become increasingly sophisticated. Insurance companies are beginning to use AI to improve the way they communicate with their customers, shifting towards proactive communication strategies powered by predictive analytics. The insurance industry does not always succeed in being appreciated by its customers.

There is no better service than a well-trained real individual who can fully understand and direct customers. Some exampes of the ways that converse360’s Assist-Me Customer Service Automation Platform enables Insurers to streamline processes and deliver exceptional customer service to customers. ProNavigator also allows for bot-human handoff, meaning real brokers or insurance agents can jump into the chat if the bot is stuck or the end user requests assistance.

Streamlining customer service

A recent C-suite poll from PwC found that 80 percent of global insurance chiefs believe AI is already integrated into their business or would be within the next three years. A similar survey by Accenture showed that 84 percent of insurers believe AI will either ‘significantly change or completely transform’ the industry over the same time period. Artificial intelligence (AI) refers to computing systems that can complete tasks requiring human-level intelligence. This paper predominantly looks at AI in the form of machine learning software, which is trained to make predictions by identifying patterns in historical data.

Chatbots can also be programmed to offer personalized recommendations to customers based on their previous interactions with the company. In the digital age, customer experience is a key differentiator for insurers. AI-powered technologies enable insurers to offer personalised and responsive services to their policyholders. Chatbots and virtual assistants can provide 24/7 support, answering policy-related queries, guiding customers through the claims process, and offering policy recommendations based on individual needs. By using natural language processing (NLP) algorithms, AI can analyse unstructured claims data, such as customer statements or medical reports, to extract relevant information automatically. This helps insurers hasten the claims process, reduce the need for manual intervention, and minimise errors.

chatbot automation saves customer service team 330 hours per month

By automating conversations that would otherwise require an employee to answer, organizations save time and money that can then be allocated to other efforts. An engagerbot can also be deployed 24 hours a day, every week, so your website is never offline. Ian Donaldson, Ardonagh Retail CEO and inbound Markerstudy Retail CEO, has hailed the proposed merger as being able to boost growth, product footprint and acquisitions but declined to be drawn on any interest in RSA’s personal lines business. Brokers should educate customers keen to cut back on premium spend as to the risky consequences they could face, according to Guy Penn trading director Mark Whiteman. Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

• In the auto market, telematics encourages safe driving behavior that results in fewer accidents.
• Insurers can use AI to expedite the claims process, reducing this stress.
• The application of AI stretches far and wide, infusing a breath of fresh air into the traditional setup of the insurance industry.
• Aviva’s Ask It Never initiative was launched to substantially cut the number of questions posed to customers by having a sophisticated system of third party data collection running in the background.

For instance, through a driver’s phone or another sensor installed in their car, insurers can gain detailed insight into a customer’s driving habits. These devices can tell insurers detailed information about how someone is driving their car—for instance, how quickly they are accelerating or if they’re going over the speed limit. This suggests that instant quotes via chatbots remain inaccurate https://www.metadialog.com/ – even somewhat of a gimmick –at this stage. The prospective customer is asked to answer four multiple choice questions – their age, where they live, who will be driving, and the value of the car – and a price estimate is given within 30 seconds. Co-operative Insurance has launched the first pricing estimate chatbot in the UK car insurance industry, via Facebook Messenger.

You might have checked if your competitors have equipped their companies with ones. No more just a transaction with customers, no more a reaction to an event – P&C insurance business has become meaningful and interactive. Companies all over the world strive to keep pace with the ever-growing and ever-changing world. If you want to embrace the change, you will probably need a trustworthy partner to integrate the leading technology into your business. Together we will create a business from scratch or readjust the existing business to your needs. More than 80% of insurance companies claimed they adopted or were planning to adopt blockchain technology.

AI can add a layer of quality control here, identifying whether the information submitted by the customer is likely to be sufficient, and indeed looking for instances of potential fraud that can be highlighted. Blockchain technology also enables insurance companies to store and verify all the information related to insurance policies, such as policy data, claims, and transactions, in a distributed ledger. By doing so, blockchain eliminates the need for centralized databases, making the process more secure and efficient. Martin Hawken is a Client Services Director in our General Insurance Division. Martin joined Griffiths & Armour in 1986 and has a proven track record in delivering risk and insurance solutions, primarily supporting large commercial and SME businesses.

Thus, insurance transitions from a “purchase and annual renewal” pattern to a continuous cycle. Usage-based insurance enhances trust and transparency across the automotive insurance marketplace. Manage and evaluate claims in a hassle-free, cost effective way using unified Claims Management Solutions. With information at your fingertips, check financial information and gain valuable insights within a click. Get accurate records and seamless integration to automate many of the unique aspects of your insurance processes.