Artificial intelligence: Transforming the insurance industry

Artificial intelligence is going to have a significant impact on the future of insurance. This revolution is not far off, and the industry is on the verge of a monumental, tech-driven shift. The deep learning technologies needed for this are already here -- think neural networks or machine learning techniques. All of these fall under the umbrella of artificial intelligence, and will help the insurance industry move from a'detect and repair' model to a'predict and prevent' model. It's a similar story with other industries which are considering implementing AI. 'The pace of change will also accelerate as brokers, consumers, financial intermediaries, insurers, and suppliers become more adept at using advanced technologies to enhance decision making and productivity, lower costs and optimise the customer experience,' writes Ramnath Balasubramanian, partner at McKinsey, Ari Libarikian, senior partner at McKinsey, and Doug McElhaney, associate partner at McKinsey. "Currently, the greatest benefit we see is an enhanced and prioritised customer experience, followed by streamlined back-office processing and improved fraud detection," explains Harald Gölles, CTO at omni:us.