Making hassle free claims using Gen AI
RESEARCH REPORT | INSURANCE
5 MINUTE READ
Summary
AI has rapidly become a preferred technology for enterprise digital transformation and a key differentiator in the insurance industry, especially when combined with a human-in-the-loop approach.
An estimated $170 billion in premiums is at risk over the next five years as customers switch carriers due to dissatisfaction with the claims process.
Additionally, underwriters are currently spending 40% of their time on non-core activities, leading to an efficiency loss estimated between $85 billion and $160 billion over the same period.
Over the last five years, AI has matured significantly, and costs have decreased, allowing insurers to unlock greater value and operational improvements at an accelerated pace.
Insurers possess a vast, underutilized asset in the form of massive volumes of structured and unstructured data collected from vehicle telematics, Internet of Things (IoT) devices, customer interactions, third-party databases, and more. By harnessing the power of the cloud and leveraging rapidly advancing AI technologies, forward-thinking insurers can unlock the potential of this data to deliver faster, more personalized customer experiences. This not only enhances claimant satisfaction but also drives significant efficiencies in underwriting.
To explore how insurers can maximize the impact of AI, TEWAG recently conducted three surveys, highlighting key areas where AI can be implemented to boost customer satisfaction and improve employee productivity.
Overview of study group
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Auto and home policyholders who have filed a claim in the past two years, spanning 25 countries.
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Spanning across 32 countries and representing various levels of seniority
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Underwriters based in European Union ranging from freshers to top cadre executives.
Are you ready for the transformation?
The insurance workforce is aging, and replacing those exiting employees presents a significant challenge. Simultaneously, AI has evolved dramatically over the past five years, with significant improvements in both economics and technological maturity. Investment in AI is also accelerating, enhancing the ability to harness claims data and streamline the insurance underwriting process. Insurtech companies that utilize AI, machine learning, and related technologies as their core solutions have seen annual investment growth of 24% (CAGR) from 2014 to 2024.
Despite many insurers identifying AI as a top priority, less than half consider their organizations to be advanced in AI adoption. Taken together, the message is clear: the time to gain a competitive advantage through AI adoption is now.
Interested in exploring this study further?
