AI and Insurance: Building a Future of Enhanced Efficiency

How Insurance Industry Experts are Leveraging AI for Smarter Claims Management

The future of the insurance industry is in the approach of building and expanding a strong foundation for operations, as well as leveraging AI-assisted technologies. At the 2023 Reuters' Connected Claims Conference in Austin, TX, our president, Andy Cohen, shared his forward-thinking vision on the topic where his insights challenged traditional norms and highlighted the role of AI-assisted technologies in driving operational efficiency.

“It’s about how you build for the long game. It’s not about eliminating jobs or functions, but how you build a digital assembly line to operationalize AI and use the technology as the co-pilot to make adjusters better, faster, stronger, and more efficient” 

-Andy Cohen, President of Snapsheet

A New Era in Insurance Operations

The industry is shifting its focus from concerns and risks associated with technology to embracing the opportunities it presents. Rather than fixating on job losses, it's time to explore how technology, especially AI, can simplify and improve adjusters' work. This shift means more time for crucial tasks like customer interactions and fraud reviews.

Expanding more on the topic, Andy explained that, “Augmenting the technology and using people where it makes sense or is required by regulatory or compliance reasons or just for sound decision making is the end goal. By giving them the tools to make better decisions which should be net good for both the expense ratio and the loss ratio, we can use technology to our benefit.”

AI Augmentation in Claims Handling

AI technology, as integrated within claims management platforms, has shown its potential in expediting the process. Some claims, from First Notice of Loss (FNOL) to settlement, can be settled within minutes. This automation, coupled with straight-through processing, allows adjusters to concentrate on complex claims requiring detailed attention.

Generative AI for Efficient Data Processing

The use of generative AI in processing large volumes of data is another emerging trend. This AI application can efficiently produce claims summaries, which assist adjusters in reviewing litigations, spotting potential fraud, analyzing data for personalized communication, etc. These summaries facilitate timely reserve adjustments and efficient management referrals.

The ability to quickly direct a claim to SIU, an IME, or an EUO can save valuable time and resources, offering the opportunity to stop fraudulent treatment and reduce or eliminate bodily injury settlements. This simple use case can be deployed very quickly — leading to significant results for carriers. 

With these examples, we can develop and establish guidelines to enable the system to handle various claims situations without the need for an adjuster. 

A Continuous Journey of Improvement

As Andy Cohen puts it, “Operationalizing AI isn’t just about implementing a project; it's about fostering a culture of continuous improvement to maximize investment returns.” This perspective is what drives Snapsheet's innovative approach in the insurance sector.

At Snapsheet, we envision a future where AI doesn’t replace, but rather complements and enhances the skills of adjusters. We're not just changing how claims are managed; we're redefining the way the insurance industry perceives and utilizes technology and efficiency.

This journey of transformation is continuous, and it is this commitment to ongoing improvement that will ensure AI technology propels the insurance industry into a future where technology and human expertise synergize for collective success!

Elevate your claims organization by harnessing the power of technology and collaborative partnerships. Connect with us to lead the charge in industry innovation.