FAQs
How is AI used in insurance?
AI has been used successfully in insurance marketing, underwriting and fraud detection. The types of insurance ranges from auto insurance and personal property to commercial lines.
What are some advantages to using AI in the insurance industry?
Insurance companies already understand the value of using data to predict future events. AI allows them to use new sources of data and apply predictive models to all aspects of the organization.
I have heard AI is a black box; in the insurance industry, we need to know the reasons a decision is made. Can AI still be useful?
In the past several years huge gains have been made in AI interpretability. There are now sophisticated open-source tools available to provide mathematically precise reasons for decisions made by many of the most power machine learning algorithms.
How should my company get started implementing AI?
We have heard from many reliable sources and discovered in our own experience that a single pilot project with high level organizational sponsorship is a good way to start. There are a lot of lessons to learn in adopting AI technology and a pilot project can help understand the challenges before fully committing to an organizational strategy.