How AI is Overhauling Insurance Claims and Underwriting

Managing insurance claims and underwriting payments & conditions is of significant importance to financial institutions like banks and insurance companies. This is a crucial revenue hinge-point for these businesses, and ensuring everything runs smoothly through these processes helps keep your business operating at its full potential.

New developments in AI act as the grease that keeps it all moving. At Future Workforce we supply you with the digital technologies of tomorrow, and in this article we’ll contextualise AI in the insurance industry and provide information to help you leverage it for underwriting and claims.

Get in touch  today to transform your claims and payment processing with AI.

How AI can Support Underwriters

The origin of underwriting was accompanied by manual book-keeping, spreadsheets that had to be filled out by hand, and data which needed sifting through via human effort – often resulting in lost information or misattribution errors.

AI presents a solution to all of these areas, operating in a controlled, consistent, and efficient manner to reach the end goal – in this case, for the sake of accurate underwriting. Using AI for underwriting can help improve:

  • Speed of operations
  • Accuracy of results
  • Understanding of data
  • Responsiveness to risks
  • Human time management

These, and many more benefits, are the result of decades of iterations in AI technology. However, a growing concern in the insurance sector – among others – is the threat that AI itself could hold towards human jobs and autonomy.

Human-AI Collaboration for Synergistic Results

As far as AI and insurance goes, having artificial intelligence and humans work together will help to achieve the most optimal results. The human element is still a crucial component, offering insights and decision-making that a highly structured AI might otherwise miss.

AI isn’t perfect, and there are lots of jobs it still can’t do. While it can help you to optimise a specific process, there needs to be something in place to begin with.

All technology works best when utilised by a skilled, experienced individual, and AI is no different. Having humans and AI collaborate creates far greater results than either could apart.

Enhance your underwriting process with enterprise automation >

The Role of AI in Insurance Claims

As well as in underwriting, AI can also play a large role in the handling of insurance claims. Since it’s able to pull from a wide variety of data sources in an incredibly efficient way, AI can create conclusions that humans would either be unable to come to, or would take far too much time to produce. And, because they can be specifically trained to spot good data, the accuracy of this process will also be increased.

AI in insurance offers a variety of benefits to both insurers and their clients, including:

  • Authenticity detection
  • Fraud analysis
  • Generation of appropriate pay-outs
  • Handling customer interactions through generative AI
  • Analysing all the circumstances around a claim
  • Creating projections when assigning insurance rates

On top of all this, AI manages everything automatically – offering speed and efficacy without requiring human control. This isn’t to say people are entirely out of the picture – AI is also able to escalate things to a human element when required, creating even better results through this synergy.

Support your insurance claims processing with automation services from Future Workforce – contact us today.

What is Insurtech?

A subcategory of Fintech (financial technology), Insurtech is the use of technology to improve insurance processes. This refers to innovations across the entire industry lifecycle, from marketing through to the end result.

Insurtech can help you to ensure your legal compliance while simultaneously reducing the costs associated with your newly improved operations. Beyond just AI, Insurtech encompasses a wide range of technologies, not all of which are directly related to insurance processes.

It’s important to have a broad view of upcoming tech, as much of the new developments will have transferability from multiple industries, feeding into a holistic improvement for technology throughout the world.

Upcoming Technology for the Insurance Industry

Technology is always changing. From the recent explosion of AI to the projections for the future, it is hard to tell where we’ll be ten, or even five years from now.

However, we’ve put together some of our expectations for how technology might pan out over the coming years. This includes:

  • Large Language Models (LLMs). These are machine-learning models which work off massive data sets, producing insights that would be impossible with a human’s limited field-of-vision.
  • Personalisation+. More data being available means a greater opportunity for appealing directly to individuals, increasing the relevance and enjoyability of the user experience.
  • Software 2.0. New ways of coding which require little-to-no experience in the field open the doors for executives and project managers at all levels to engage directly with the programming process, helping them to achieve their vision and desired functionality more easily.

Find out more about key tech trends of 2024 in our full report >

Insurance Innovations of Tomorrow from Future Workforce

If you want to improve your insurance claims and underwriting processes while safeguarding your business for the future, then you need to embrace the innovations of tomorrow as quickly as possible. Automating your processes while providing access to larger quantities of data, in tandem with AI-human collaboration, means increases to efficiency, accuracy, and profitability which are otherwise impossible to achieve.

Get in touch with the team at Future Workforce to discuss how we can utilise AI and Insurtech solutions to improve your business’ operations. Find out more about our work in the insurance sector,or check out our full range of services for more information.

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Edwin Provoost

Edwin Provoost

Business Manager

An experienced commercial and organizational business builder with a comprehensive international network on senior level. Highly energetic, focused, strong on sharing knowledge, building trust & relationships and used to acting on C-level

Daniel Young

Daniel Young

Consulting Director

Has over 20 years of consulting experience at global system integrators across Europe, US, Middle East and Asia. Prior to FWF, Daniel led Intelligent Automation Consulting Practices supporting organisations across Financial Services, Banking, Insurance, and Energy sectors to achieve value from Intelligent Automation.

Contact Daniel