According to a report published by Enlyte, a technology solutions development firm specialising in insurance, artificial intelligence (AI) will radically influence the processes used by motor insurance companies over the next few years.
It’s no secret that AI now plays a key role in the management of automotive companies. AI is an ultra-powerful tool that allows data to be processed much more efficiently, enabling better business decisions to be made more quickly. This is why motor insurance companies are now obliged to implement this technology if they wish to remain competitive in the sector.
In its annual report on insurance industry trends, Enlyte looked at the challenges and limitations of ChatGPT, the most popular AI-powered word processing tool. Although AI offers many advantages, we also need to be aware of its weaknesses and the problems that its use can cause.
A revolutionary technology with its own set of challenges
According to Enlyte’s annual report, AI is capable of significantly accelerating and improving insurance claims processes. As a matter of fact, this technology is capable of automatically analysing claims and detecting attempted fraud. AI is also capable of retrieving information from other databases to build up a more complete picture of insured customers and provide a more personalised service (medical information, claims history, social networking profiles, etc.).
AI also offers other benefits specific to the insurance field, such as better prediction of disputes, better monitoring following a claim and more accurate prediction of the severity of claims.
Although AI is very practical, Enlyte points out that this technology has its flaws and limitations. First of all, since AI is capable of fetching and collecting a great deal of sensitive data, insurance companies need to do their utmost to protect it. This data could jeopardise the confidentiality of insured customers. In addition, the intensive use of AI can create bias and discrimination in the way insurance companies manage their customers. The parameters of AI algorithms do not take into account the human side, which can lead to inequalities in the way customers are treated.
AI must therefore be used with care in the field of motor insurance. However, this technology shows great promise and could greatly improve the satisfaction of insurance company customers.