Other parts of this series:
- AI holds the key as insurers bid to ramp up the customer experience
- AI on a big scale will give insurers a huge competitive edge
- AI performs best when blended with other powerful technologies
- Partnerships are vital to insurers’ big AI ambitions
- Digital Factories accelerate big-scale AI installations
Insurers planning to roll out powerful AI solutions should enlist support from key business partners.
The rise of digital ecosystems has taught insurance companies the huge importance of business partnerships. Silo mentalities don’t succeed in the digital marketplace. In the hyper-personalized, real-time post-digital world, which will soon be upon us, partnerships will be vital.
Insurers looking to roll out powerful artificial intelligence (AI) solutions should look beyond their organizations to capitalize on the expertise or reach of key business partners. In my previous blog post, I discussed the huge potential benefits of combining AI with other emerging technologies such as distributed ledgers, extended reality and quantum computing. Similarly, by hooking up with strategic business partners, insurers can improve dramatically the effectiveness of their AI solutions. Potential partners are likely to include service providers from other industries, insurtech firms and fellow insurance companies.
The customer experience is likely to be the focus for most AI partnerships. According to the Everest consulting and research firm, 58 percent of AI insurance projects address the customer experience. A further 43 percent are intended to improve business optimization and 19 percent were started to enhance product innovation.
“Several prominent insurers have already forged AI partnerships.”
Insurers using AI to boost the customer experience have frequently deployed chatbots and virtual assistants to engage with policyholders. Other popular approaches include the use of connected intelligent devices attached to vehicles, homes or individuals as well as smart support services and prompts for call-center staff.
Several prominent insurers have already forged AI partnerships. For example:
- AXA has teamed up with UK start-up Brolly to market a new auto insurance product on the insurtech’s digital platform. Brolly is an online insurance aggregator that uses AI to provide its customers with personalized insurance advice. The AXA product includes a 24-hour claims helpline as well as cover for windscreen repairs and lost keys.
- Tokio Marine in Japan has secured a license to use the Connected Intelligence platform developed by US insurtech Metromile. This platform uses AI to enhance the customer experience, gather real-time customer insights and accelerate claims processing. The Japanese insurer also participated in Metromile’s recent US$90 million round of funding.
- Allianz has joined forces with UK law firm Keoghs to develop an AI-driven digital solution that helps staff at the insurer automate injury claims that could involve legal action. Allianz’s Defendant Hub solution uses Keoghs’ Lauri AI system to automate data collection and claims processing.
In my next blog post, I’ll discuss how insurers can accelerate the roll-out of large-scale AI projects by creating a Digital Factory that draws together all the necessary business and technology resources. Until then, take some time to read our 2019 Technology Vision for Insurance survey. It’s full of valuable insights.