Artificial intelligence never wavers from the news, but we don’t always hear enough about how it’s helping specific industries. It’s starting to work in various surprising fields, including the insurance business. As someone who perhaps works in insurance, this should become important to you based on how AI could understand your customers.
After years in the insurance business, you already know how much of a challenge it is to determine client risk. Particularly in life insurance, artificial intelligence now adds a new layer to understanding who your clients are and going beyond mere basics.
Machine learning is at the helm of AI, helping to understand people more than the people understand themselves.
Here’s a look at how AI can help your insurance business for the coming decade.
Finding a More Accurate Picture of Life Expectancy
How many years have you had to ask your life insurance clients information about their medical histories? This probably didn’t give you a complete picture of life expectancy in the customers you serve. Only digging a little deeper into subtle things you can’t observe would provide more clarity.
AI provides this through complex data algorithms and basic technologies. A company called Lapetus recently provided an AI-based technology that takes a picture of a human face and determines life expectancy.
The program scans a person’s face thoroughly and determines things cameras can’t pick up. It looks beyond simple things like gender, body mass index, and whether someone smokes. This AI-led program looks at health aspects even doctors can’t see to determine how long a person might live.
It’s just one example how AI can change the life insurance business from what it current is. At the same time, with automation integrating with AI, some in the insurance industry might feel left out. What’s important to realize is AI merely complements insurance tasks rather than replacing jobs.
When you apply machine learning to insurance, you get far more thorough metrics to work with that leads to better decisions. You might have far too many high-risk clients you wouldn’t have given a policy to had you acquired better information.
Many companies now provide better metrics in their AI programs, with names like Next Insurance possibly being familiar to you. They provide solid analytics so you can sell insurance through mobile devices. It’s become a way for people to get insurance quickly thanks to AI providing automated metrics in near real-time.
To build on this, many insurance companies now use AI mobile chatbots to allow people to converse with a digital assistant. Companies like Lemonade are some of the innovators bringing this convenience, allowing people to sign up for insurance in just minutes.
Other insurance carriers like Farmers and Progressive are already looking into partnering with Lemonade to bring this same feature.
Here you see how AI works on insurance for people. What about insurance for things like property? New AI technology is already underway using similar tools to analyze objects for determining insurance rates.
Using Artificial Intelligence Cameras to Study Property
Another tech company called Cape Analytics recently designed an AI program to capture images of property, including roofs on houses. Combining machine learning, computer vision, and geospatial imagery, it’s another tech integration where studying imagery detects things not seen by the human eye.
For assessing property insurance rates, this is going to become invaluable, especially if you think you’re paying too high of a premium already. The intention is to improve the underwriting process through a convenient API.
As you can see, AI in insurance now makes getting insurance faster when you realize you’re vulnerable and need fast coverage.
Visit us at Jaroop to learn more about our data management techniques, including employing AI in various industries.