It’s not an argument that everything in the real world has a risk. It includes life, property and whatever the things which belong to us. There is no way to avoid the risk, but there’s a way to reduce or cover. Insurance plays the risk reduction in the sense of providing financial coverages for victims.
Today, we are living in a disruptive technological era and newest concepts are emerging day by day. Artificial Intelligence (AI) and Machine Learning are the most prominent areas among them at present. Simply, here the machines are provided with the knowledge to work and learn as a human without explicitly programmed.
Machine Learning is an application of Artificial Intelligence. And it revolutionized almost every sector with Pre-trained neural network models. Convolutional Neural Networks and Sequential models act major role.
In the real world, every field is trying to link with technology for the survival. So, the field of Insurance is looking to merge with novel technology too. Mostly this AI based technology will be able to automate the service of Insurance agents and brokers. Also, it’s having the capability of enriching the service quality.
Automated solutions need the expertise knowledge and skills from big set of insurance agents. Also they should be processed from a considerable time period. So then they can act as a live agent. The reason why Insurance industry is tending to use AI based technology as to address key areas like,
- Reaching the valuable customer at right time.
- Satisfying the customer requirements with right products.
- Providing a fastest claim support and avoiding bogus claims.
Claim management in the insurance sector will be benefited through AI and Machine Learning in various ways as follows:
Developing a real time Q & A platform for client
The system enables to provide accurate and specific answers for client’s queries on various Insurance issues and policies. The benefit of the system is unlike an agent, its service is open for 24 hours and 365 days. Customer satisfaction is depending on the time how much the service can be with him/her
An accurate digital agent
With the emergence of digital agents, the live insurance agents will have to sacrifice their job role. Many believe that digital agents will be the most trusted and protective source to handle claims and financial loses.
Health Insurance Process Claim Management
To test how the Machine Learning is supportive for Health Insurance Claim management, a pilot test has been carried out. There, the insurer has taken sharply 11.5 minutes complete the claiming process while same amount of work has been completed by the Machine Learning solution within three minutes with 80% of accuracy. The other 20% were for database limitations and wrong spelling usage. But in near future Machine Learning will fill that 20 percent and provide a 100 percent accurate insurance claim processing.
Detecting fraud claims
Unlike the live insurance agents, with rich data analytics, automated solutions are able to detect the bogus claims and avoid benefited them financially.
However, insurance agents may have to give up their duty due to these new technological inventions. And also, some are having a negative mindset that digital agents will not be able to give real time advices as live agents do.