ABI: Human interaction ‘critical for insurance’ – despite rise of AI

ABI: Human interaction ‘critical for insurance’ – despite rise of AI

ABI: Human interaction ‘critical for insurance’ – despite rise of AI

Artificial intelligence (AI) will be implemented more within the insurance industry, though it will mainly cover back-office processes, as opposed to customer facing roles, according to experts at the recent ABI data conference held on 19 October in London.

Huw Evans, director general of the ABI, said: “While there is a role for AI in the insurance industry, most of the time that people contact their insurance company is often when suffering from some kind of trauma where they will need quality human interaction.”

Evans, addressed some of the current trends within the insurance sector and how this is affecting the industry as a whole. One of these is the recognition that insurers need to do more to engage with the consumer.

This is due to build greater trust between consumer and insurer in the future use of technology in regards to the policies and engagement with the insurance providers. Whether this is the type, or amount, of data that is collected on them to create their policies, or whether it is when contacting their insurance company and potentially be communicating with an AI chatbot instead of a human operator.

David Caygill, managing director, at the iris Nursery, reiterated this point, saying now is the time to consider how different roles will be distributed between a workforce which is a mix of human and AI workers.

Caygill said that it is likely that humans will continue to work in positions which are suited to their qualities such as those that demand an emotional or creative capacity, and that AI will be implemented in positions that can be performed better by technology or in positions that humans simply don’t want to do.

While the conference’s focus was on the use of technology within the insurance industry, the recurring theme was how it will affect the relationship between insurer and consumer.

It is apparent that for insurance companies to become more digitised there is a need for more engagement with policy holders to develop a relationship of trust.