When you have an accident, you contact your insurance provider and make a claim. How your claim is processed depends on the insurer. For many, there is a fear that their claims handling procedure will depend too much on the opinion of an individual. There have been a number of suggestions of how to improve the process over the years. Technological advances recently have allowed a new contender to emerge. Artificial Intelligence (AI) could soon handle aspects of insurance claims.
What is Claims Handling?
In simple terms, making a claim means informing your insurance company that you are requesting money from them. The insurer needs to review your claim. During this review, the company will confirm whether your claim fits the terms and conditions of the policy. If this is the case, the company will determine how much money they owe you. This process is called claims handling.
How Can AI Help?
AI can help to make claims handling easier for claims handlers. There are a variety of ideas for how AI will do this. Most plan to use AI to free claims handlers from admin tasks. This would allow claims handlers to focus on tasks which AI cannot currently do, such as investigating, evaluating and negotiating with people.
Is this a Good Idea?
AI could make the procedure of making a claim easier for everyone involved. AI programmes already in use allow insurance companies to gather information on a claim without a person needing to be involved. They also allow AI to carry out basic visual assessment of damage before a human needs to be involved. This freedom from the responsibility of carrying out minor tasks lets claims handlers spend more time on important tasks such as dealing with customer issues.
Will Humans be Replaced?
It is possible that in the future, AI will be advanced enough to replace humans entirely. However, there is far from being the case now. AI is almost certain to play a larger role in claims handling over the next few years. However, it is likely to be restricted to a supporting role. If AI is used right, it will make claims handling easier and less subjective for all parties involved.
At Alternative Insurance Brokers, we can help you find the right insurance policy. From convicted drivers to flood risk insurance, we have the panel of insurers for you (whose claims handlers are all still human).