AM Best Panel Explores How GenAI & ChatGPT Are Reshaping the Insurance Industry

Source: Reinsurance News | Published on November 28, 2023

AI and industry risks

A recent panel hosted by AM Best, that included insurance and technology experts, examined how Generative AI and ChatGPT technologies will play a key role in driving the customer experience across the industry.

The panel featured, Arun Balakrishnan, Chairman & CEO of Xceedance, Ray A. Mirza SVP of Berkshire (BHSI), and Praveen Reddy, COO of Velocity Risk.

Mirza explained that Berkshire BHSI’s approach to AI and ChatGPT internally is primarily twofold, with one area being to really have a focus on “education and awareness.”

“We have had a big push around that this year, educating our colleagues around the world on ChatGPT and other offerings. And we have started to talk about the use cases, as well as the benefits, but most importantly, the pitfalls and the risks.

“The second thing now is that we are starting to vet real use cases and something that we’re looking very closely at and its quite exciting that we are moving forward with it, is our first use case, which is in the area of submission processing.”

Moreover, Balakrishnan also explained how both GenAI and Chat GPT are still new forms of technology and that across the industry he is seeing different levels of “excitement, exuberance and caution” by different companies.

“In a personal lines world we are seeing a lot of experimentation in customer experience. Like how it engages with the customer service when somebody’s calling in, from making your charts more engaging, all the way to comprehensions. So there are a lot of experiments, but largely limited in the customer interaction world when it comes to personal lines.

“In commercial lines, I think there is a bit of spectrum depending on each companies appetite. So, you have some companies in small commercial trying to see this from an underwriting perspective, like how can you assimilate all the information which comes within a card form to come up with insights.”

However, even with a lot of experimentation taking place across the industry with this technology, Balakrishnan noted that he does not think a “scale mass adoption” with GenAI and ChatGPT has happened just yet, but the industry remains on the verge of doing this.