The Future Of Insurance with AI and Human Intelligence

Technology, like artificial intelligence (AI), has always been the future. But combined with human intelligence (HI), the future of automated processing gets brighter and more accurate. The good news: It’s here already.

A look at four AI + Human Intelligence-related trends

McKinsey & Company’s report, Insurance 2030–The Impact of AI on the future of insurance, looks at today’s current AI and human intelligence trends. It discusses how the combination of AI and HI can advance insurance companies through elevated claims processing, including the significant rise in volume of data from connected devices, the increased prevalence of physical robotics, the proliferation of open-source and data ecosystems, and the advances in cognitive technologies.

AI combined with machine learning and deep learning—while keeping humans in the loop for quality control, when necessary—will enhance how insurers carry risk and process claims overall. Payout claims will happen faster yet be more precise than ever before.

The combination of AI with HI strikes a different possibility for processing. While AI and new tech advance insurance processing like never before, it can’t handle the day-to-day nuances of insurance processing on its own, whether it’s medical, property, casualty, life insurance, or otherwise.

The impact of technology trends on insurance claims processing

In the future of claims management, human oversight focuses on a few core areas, according to the report. Human intelligence would take precedence in situations of:

  • Unusual claims
  • Contested claims where human interaction is empowered by analytics and data-driven insights
  • Claims linked to systemic issues and risks created by new tech
  • Random manual reviews of claims to ensure sufficient oversight of AI and its decision-making process

Using car insurance as an example, the report foresees a future where drones and self-driving or autonomous cars will initiate claim automation themselves. For cars, trucks, and other vehicles, processing can occur from the moment of the accident. Alternatively, a car’s existing navigation can provide insurance-approved routes, which would be the safest or less risky given the driver’s policy.

But can this approach ultimately apply to all forms of insurance? Home repair contractors and repair shops may be unable to ride the wave of processing innovation in tandem with AI and advanced technology alone. AI, with human intelligence support, can account for intricacies in other aspects of the process when self-directed automation falls short.

How to prepare for changes in insurance processing

Even if you’re not focused on technology trends, you’ll have to be at some point. As more and more companies begin incorporating AI into their operations (ChatGPT alone has led to significant changes in how companies do business), more and more customers will expect the same range of capabilities, no matter the brand.

Here are four ways to prepare for the AI and HI-fueled changes coming for insurance processing:

1. From board members to customer experience teams, everyone should educate themselves on AI technologies & trends.

No longer beholden to your Company’s IT team, everyone should be familiar with new technologies and how the current ones can augment their goals and tasks. ScaleHub’s innovative collective intelligence solution, for example, can streamline team operations and help your human employees focus on more significant tasks or day-long projects instead of dragging their time away into processing that should instead be automated.

2. Brainstorm and establish hypotheses by department or practice area as to what claims processing could look like in the future.

Utilize this time to encourage big ideas with your teams. Touching back on trend education, use this newfound insight to discuss what a “perfect situation” might look like. Discuss how AI and the power of human intelligence can help insurers harness the potential within their organizations and improve the customer experience.

To facilitate these ongoing conversations and exchange of ideas, ScaleHub has joined Guidewire’s Insurtech Vanguards program. Through this initiative, insurers can learn more about the newest solutions designed to maximize their operational efficiency. “What makes ScaleHub’s approach so novel,” touted Guidewire Chief Evangelist Laura Drabik, “is how they solve the age-old challenge of human intervention that is inevitable with even the best automated document processing technologies.”
Using ScaleHub’s managed service for claims processing can decrease the time it takes to get your customers their response, for example. This, in turn, leads to happier customers, renewed loyalty, and a sustained customer base.

3. Outline a strategic plan with short and long-term goals, including the impact on human resources.

Though innovation can happen fast, change within organizations doesn’t always occur at the
same speed. As the report says, “The senior leadership team’s long-term strategic plan will require a multiyear transformation that touches operations, talent, and technology.” However, identifying operation enhancements and their key tech stack additions can give your company a gratuitous win and early ROI. The right tech can provide you instant scalability, no matter how early you do it. With no software to install and minimal-to-no training required, ScaleHub’s collective intelligence solution was designed to help organizations respond adeptly and adequately to any boost in business.

Real Garant, a Zurich Insurance brand that provides services for auto warranties in 33 European countries and in multiple languages, leverages ScaleHub’s service. In doing so, they were able to increase daily claims processing capacity per person by more than 100%–without adding staff to the adjustor team. “No other company was able to show us a concept like the ScaleHub team did,” shared Christoph Müller, Chief Operations Officer at Real Garant.

4. Consider how claims data will be shared and used across the organization.

All technology, whether it’s AI or otherwise, relies on data. But accurate data fuels the best use of that technology and allows human board members and team members to make the best decisions possible for the organization. But, as McKinsey puts it, “As the external data ecosystem continues to expand, it will likely remain highly fragmented, making it quite difficult to identify high-quality data at a reasonable cost. Overall, data strategy will need to include a variety of ways to obtain and secure access to external data, as well as ways to combine this data with internal sources.”

Having a strategy for data that is generated both internally and externally will be a must for any insurer. ScaleHub’s crowdsourcing solution helps businesses get the accurate data they need with the speed of AI and the oversight of Human Intelligence to deliver data with over 99% accuracy.

Bring the power of AI & HI to your organization

The way insurance claims are processed is already changing. Will you adapt with it? ScaleHub can help with our GDPR- and HIPAA-compliant collective intelligence solution. With minimum installation efforts and little-to-no training required, you can elevate your claims process without missing a beat. Meet with us at Guidewire Connections in Nashville on November 12-15 to discuss how we can support you, or if you’re not able to attend, schedule a call with an expert today.

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