How Generative AI and ChatGPT are Reshaping the Insurance Industry
Insurers are experimenting with a range of use cases.
Increased computing power allows insurers to learn from huge data sets.
Effective use of generative AI will help insurers improve expense ratios, more effectively target distribution and control losses.
Generative AI is a natural adjunct in an industry that is focused on documents and finance.
MGAs and insurers will have a deeper understanding of what business is productive and which existing accounts should be re-examined.
Because public large language models learn from the data that users submit, insurers must be cautious about the information they expose.
Security and privacy mishaps will draw regulators deeper into the regulation of AI use in insurance.
AI will help managing general agents better mask specific risks to individual capital providers.
Widening use of AI will allow insurance professionals to focus on the value-added aspects of their roles, not on mechanical functions.
Customer-facing technologies will likely gain the most as today's chatbots give way to smarter interactions.
