Is investing in AI worth it for Canadian insurance carriers?

While the vast majority (94%) of Canadian insurance professionals surveyed believe that artificial intelligence (AI) will transform the insurance industry, the jury is still out on whether carriers are receiving a return on investment from analytics yet. Insurance Nexus released Tuesday the results of what it is calling "Canada's first insurance analytics and AI survey," a poll of 250 industry professionals. When asked if carriers have seen a return on investment from analytics yet, 12% responded that they are seeing a "healthy return," while 24% said that they aren't seeing a return yet. Thirty-six per cent said that they are beginning to see a return, 12% expected to see a return this year and 16% said that they might not see a return for over two years. "The result highlighted a reality that a substantial proportion of companies have not seen ROI from analytics yet," said Eugene Wen, Vice President of Group Advanced Analytics at Manulife Financial.