AI: critical to enabling insurers to adapt to change

Historically insurers have long been perceived as the technology laggards of the banking, financial services and insurance trio. After all, customer contacts are typically annualized, come time to pay premiums, and even with investment-link insurance policies, the often suggested approach to the insured is to take a long-term view of their investment. Insurtech and the millennials are changing the industry though. According to Accenture, investment in insurance technology is climbing fast with insurtech investments in 2015 reaching US$2.6 billion (11.7% of total Fintech investments). Q1 2016 saw US$650 million go to insurtech with funding coming from venture capital, private equity companies and the investment arms of big insurers.