A.I. will change industry but majority of execs foresee opportunity

Although there is a fear that the advent of artificial intelligence (AI) may result in an increasingly automated world with job replacements a possibility, an overwhelming majority of re/insurance executives see this phenomenon as an opportunity for their industry, according to an online survey of Intelligent Insurer readers. AI has already taken centre stage several times this year, firstly because of alleged job cuts at Fukoku Mutual Life Insurance, which implemented a system that calculates pay-outs to policyholders and apparently possesses the "cognitive technology that can think like a human." This was followed by peer-to-peer US insurer Lemonade going public with its claim of a'world record' for the speed of paying a claim, thanks to the use of AI. The poll, which asked whether executives see AI as an opportunity or threat to their job and business in the re/insurance industry, showed that 89 percent saw it as an opportunity and 11 percent perceived it as a potential threat. Several respondents were in agreement that the automation of routine tasks and streamlining of the underwriting process would free up opportunities, allowing more creativity within the industry, but also for more sophisticated analyses that are not possible today due to resource constraints.