Will Artificial Intelligence Make Your Job Easier or More Difficult?
Two of the most common mistakes in time management are failing to prioritize and manage distractions. As a 21st Century insurance claims or underwriting executive, you are constantly pulled in many directions, working in complex and dynamic situations in a continually changing business environment. Therefore, the two most critical tasks a Claim Manager must accomplish every day are monitoring high-priority claims and responding to compliance and regulatory issues. In addition, the Claims Manager must make informed decisions impacting these key performance indicators:
- Potential Fraud
One can group Compliance and Regulatory Tasks as follows:
- Mandated Reporting
- Data Calls
- Internal Reporting
- Fair Claims Practices Regulations
- Anti-Fraud Compliance
What do all of these have in common? Data! Managers need lots of data to gather, organize, synthesize, and act upon, and often compounded with time demands for a response. Your time is precious and a dwindling resource!
How Artificial Intelligence Can Help
Artificial intelligence is ubiquitous in our daily lives. Smartwatch? Smartphone? Google? Amazon? FaceBook? LinkedIn? YouTube? Instagram? You get the idea! These platforms run on sophisticated algorithms, which data scientists constantly monitor for insights to advertise, acquire customers, and improve customer engagement. Artificial intelligence is still in its infancy stages, but with the advancements in data science and natural language processing (NLP), some remarkable things are happening in InsureTech.
Artificial intelligence is a force multiplier for time management and critical decision-making in the business of insurance. Imagine being able to quickly learn about priority claims identified as likely high risk with severe damages. Then, you could take immediate steps to mitigate the severity and thereby reduce expenses. For example, what could you do if A.I. predicted the likelihood that a claim would end up litigated several weeks before an attorney is involved in the lawsuit? Imagine the cost and expense savings by avoiding costly legal proceedings with possible unfavorable verdicts. Insurance executives can be more agile, responsive, and successful with an A.I. solution with NLP guiding with the right insights.
A multi-disciplinary team at Infinilytics’ created Charlee™ Insights and a predictive analytics engine that reveals the most meaningful operational data insights with 80% accuracy. Charlee NLP was pre-trained by domain experts’ domain knowledge which adds to the accuracy and faster production implementation
The key to leveraging A.I. is it must provide the following value propositions:
- Start with a goal/objective – reduce litigation by X percent or reduce loss expenses by one percent
- Start with small wins and test thoroughly – Preferably, start with a task that’s repetitive, mundane, time-consuming, error-prone, and dealing with large volumes/varieties of data
- Be ready to change your business process based on A.I. insights
In the next couple of thought leadership blogs, we will explore and define specific use cases for multiple lines of business for claims and underwriting. Stay tuned!