Artificial intelligence is no longer just for the big carriers.
Artificial intelligence (AI) is rapidly transforming the insurance industry, yet many independent insurance agents believe that only large carriers can afford it. In fact, AI has become so simple and inexpensive that smaller agencies are losing value by not employing it. If you’re struggling to maximize its enormous potential, we’ll walk you through some of its benefits on your agency’s operations.
Your Virtual Assistant
Chatbots are now a universally accepted platform for interacting with prospects and clients, with a recent Accenture survey finding that 74% of consumers would consider insurance proposals from a computer-generated system. Aside from responding to basic questions, chatbots can resolve claims, make coverage recommendations, identify fraudulent activities, and quickly collect and sort information regarding clients and prospects. By streamlining so many essential tasks, these automated assistants can dramatically increase efficiency and productivity.
Insurance agencies can install several inexpensive chatbot programs. For example, CogniCor Technologies’ virtual assistant can be adapted to many business processes, including insurance tasks such as renewing auto policies.
Your Auto Claims Adjuster
Settling auto insurance claims can be a protracted and frustrating process. Fortunately, AI-generated computer vision can analyze photos of a crash and quickly gauge the extent of the damage and the probable cost of repairs. It can even determine whether the car is beyond repair. For their part, drivers can send these photos to an agent without having to wait for an adjuster to physically inspect the vehicle.
More importantly, computer vision offers more accurate assessments. Whereas claims adjusters and body shops might calculate different estimates based on their subjective analyses, AI eliminate any bias by relying on a more objective evaluation based on similar accidents. As a result, your clients and your agency avoid any hassles over the claim settlement.
Computer vision could also connect agents with overlooked clients. Noting that roughly 45% of estimates in the United States aren’t visually checked because of the prohibitive cost of a physical examination, AI provider Tractable’s CEO Alex Dalyac argues that “AI can make a dent in this huge opportunity by flagging useful cases to humans.” “Instead of humans inspecting all estimates and getting a 15% to 20% hit rate,” he claims, “they inspect those suggested by the AI and get a 70% to 90% hit rate.”
Your Data Cruncher
The insurance industry is built on historical data — a lot of it. To underwrite policies, agents need to pore over reams of actuarial tables and application forms. It’s a time-consuming but necessary task that can significantly reduce efficiency.
Fortunately for insurers, AI software can automatically collect the necessary data from a person’s social media profiles, job history, and data-tracking devices like GPS systems or wearable health sensors. It then can process that information and guide agents to an individualized and factual assessment of a person’s risk factors, which the agent can use to set rates. As author and customer experience expert Blake Morgan writes in Forbes, “AI can analyze data better than humans to more accurately predict each customer’s risk, thereby providing customers with the right amount of insurance and companies with protection from risky customers.”
By adopting AI, your agency will experience better customer service, speedier claim resolutions, and more accurate underwriting. It’s time to take advantage of it and add value to all of your practices.