Few technologies have received as much exposure in recent years as generative AI, and it has been no different in the insurance sector. One of the main topics of conversation has been around its use in the customer service space, a fact that was reinforced in our whitepaper, “The Carrier Perspective: 2024 Claims Insights,” where UK insurers pinpointed it as the primary area (63%) in which they are utilising generative AI and AI chatbots.
Other areas of implementation noted amongst UK insurers, though not as popular, include claims processing (43%), risk assessment (30%) and underwriting (20%), while only 18% of UK insurers are yet to use such technologies at all.
“The Carrier Perspective: 2024 Claims Insights,” also shone a light on worldwide adoption of generative AI and the enthusiasm for its use extends across borders, with 67% of worldwide insurers nominating customer service as the primary area for use.
Benefits of AI adoption
Given the myriad of benefits that flow from AI implementation, it is little wonder UK insurers are investing in the technology. “The Carrier Perspective: 2024 Claims Insights,” whitepaper revealed 70% of respondents believe adopting AI can improve customer service, while reducing costs/headcounts (73%) and enhancing claims outcomes (55%) are also appealing. The most popular benefit, speed and operational efficiency (93%), makes it clear that the enthusiasm around the potential of generative AI is not going anywhere.
At Gallagher Bassett, we are investing in the best ways to leverage the benefits of AI-enabled decision support solutions amongst other uses, from helping our clients reduce costs and access talent to achieving claims outcomes that exceed expectations, Gallagher Bassett is already successfully combining AI tools with best-in-class claims management consultation. We believe there is huge potential to integrate AI-enabled tools and data analysis throughout the claims lifecycle to enhance decision-making.
The best of both worlds
Successful AI implementation is not a given though. As with any new technology, there are hurdles to overcome, particularly during the initial deployment phase. A third of UK insurers consider its seamless integration into business operations as the primary challenge, closely followed by ensuring compliance (28%). Other areas of concern include managing data privacy and security (20%), identifying appropriate uses of AI (13%) and issues surrounding staff adoption (8%).
The key to navigating many of these challenges lies with recognising the pivotal role that humans need to play in optimising AI in the insurance sector. As much as tools, such as generative AI, can provide valuable data and insights, algorithms and machine-learning can only do so much. It is insurers themselves who must use critical thinking to interpret what the data is saying and, in turn, elevate performance.
One way to achieve this crucial balance between humans and the evolving technological landscape is by partnering with an established firm such as GB. We are ready to equip your team with the right technology, support and advanced knowledge they need to thrive in a changing industry.
At Gallagher Bassett, we are committed to strategically investing in technology that enhances the client experience. Generative AI is the latest in a long line of innovations that we are leveraging to provide actionable insights, enhance claims management and deliver superior outcomes.
Contact us to learn how Gallagher Bassett can support you.
