An interview with popular and renowned insurance influencers, TheHardMarket, in TheReinsurance Podcast. He shared his opinion that the insurance sector’s feared attitude toward AI will inhibit the integration of AI in the industry.
Influencer’s Insights on AI Adoption
Since the insurance industry has been known as a quite conservative and risky sector, AI technologies have brought it to a crossroads of obsoleteness and integration of new systems. TheHardMarket, anonymous, described the industry’s obvious fear of the use of AI in the implementation process. This phobia, the influencer maintained, is premised on the uncomfortable fear of accepting new modifications and challenges that disapprove of the prevalent norms.
In the podcast by the Supercede hosted by insurance insurtech Jeremy Leigh and Ben Rose, Hardmarket pointed out artificial intelligence (AI) is driving change from underwriting and claims settlement to the level of customer support and, particularly, the detection of fraud. However, the claimed by the influencer that the fear of AI’s threat to the traditional workflows has made the professionals in the industry to be worried.
Impact on innovation
According to The Hard Market, the resistance to accepting insurance AI applications might be a possible hindrance to technological innovation within the insurance industry. While insurtech startups are innovatively adopting AI to replace the traditional methods or improve customer experience to a higher level, established insurance organizations may be stuck behind if they fail to take advantage of a digital revolution.
The insurance industry has shown a mixed response to AI. There are organizations that develop AI technological solutions both in process automation and risk management, while others still show insecurity towards this issue.
The HardMarket believes that AI will finally find a space in the insurance market. The influencer emphasized that technological development should not be curtailed but rather have the fear and the resistance to innovation to be overcome at the very beginning. The Insurance sector incorporates AI-based solutions to not only speed up operations and manage risk better but also enable companies to keep up with changing customer needs in the digital-first world.
