AI IN

INSURANCE
PRESENTED BY:
1) NISHIKA (21HCH8625)
2) KUNAL (21HCH8614)
3) AYUSHEE (21HCH8605)
4) SANSKAR (21HCH8640)
5) SURBHI (21HCH8644)
 WHAT IS
ARTIFICIAL INTELLIGENCE
Artificial Intelligence is a branch of computer science that deals with
developing intelligent machines which can behave like human, think
like human, and has ability to take decisions by their own.
 USE OF AI
IN INSURANCE
Artificial intelligence use in insurance companies has been
growing steadily in recent years. It can be used in
insurance industry to improve EFFICIENCY,ACCURACY, and
CUSTOMER EXPERIENCE

-
HOW CAN AI BE USED IN INSURANCE ?

01 UNDERWRITING

02 CUSTOMER SEGMENTATION

03 CLAIMS PROCESSING

04 PREDECTIVE MODELLING
HOW CAN AI BE USED IN INSURANCE ?

05 RISK ASSESSMENT

06 CHATBOTS

07 REDUCING HUMAN ERROR

08 FRAUD DETECTION
 INSURANCE COMPANIES
USING AI
There are several companies in india tha are using AI and
machine learning in various fields of their operations to
improve their services for better experince for the
customer.
 COMPANIES USING AI IN INDIA
MAX LIFE
INSURANCE
It launched an AI based campaign named "suraksha" .It also made
deep learning based image recognition tool . According to IDRAI, the
claim settlement ratio is 99%

HDFC LIFE INSURANCE

HDFC launched a virtual assistant named " INSTA-A " that processes
and analyzes customer's queries and their feedbacks to provide faster
and better customer services.
COMPANIES USING AI IN INDIA
ICICI PRUDENTIAL
LIFE INSURANCE

It launched an AUSIS tool to speed up policy related

data verification. It collaborated with Artivatic to
develop this AI tool
 STARTUPS ALL OVER THE
WORLD USING AI
Many startups all over the world are developing various
tools and integrating various technologies and
implementing AI to increase their profits, provide better
customer service and to reduce human error in the
insurance industry.
STARTUP USING AI
LEMONADE

It is an US based startup company which was founded by Daniel

Schreiber and Shai Wininger. this company uses chatbots to
provide customer support and process insurance claims. Its USP is
offering "everything instant" from policy quotes to claims
processing. Maya is AI chatbot to provide quick assistance to
customers and answer their questions about insurance policies,
file claims and even provide emotional support
 STARTUPS USING AI
LIGHTMETRICS

Light metrics
Is a startup based on AI that monitors the drivers in real-
time and give them coaching. It was founded in 2015
The startup provides auto insurance companies and fleet
owners the service to monitor their drivers.
Light metrics currently has customers across India ,USA
,Mexico Canada etc .
FRAUD DETECTION USING AI
IN AN INSURANCE COMPANY
STAGES OF FRAUD
PRACTICING

FRAUD AT POS
FRAUD AT CLAIM STAGE
FRAUD IN NO FAULT STATE
FRAUD IN PERSONAL LINE
HOW AI CAN BE USED FOR FRAUD DETECTION
AND FRAUD PREVENTION

BY ANALYSING LARGE DATA SETS

BY DETECTION OF PATTERNS
BY PREDICTIVE ANALYSIS
BY ANALYSING USERS BEHAVIOUR
 EXAMPLE OF HOW AN AI WORKS:
SHIFT technology was founded by David Durrleman, Eric Sibony, Jeremy Jawish in 2013
Shift Technology is a provider of AI-driven decision automation and optimization
technology for the global insurance industry.

1) Filing an auto insurance claim

2) Uploading a picture of the broken window
3) Checking if the broken window is covered in their insurance policy.
4) Asking for whether they have paid the price for the repair or not and accordingly
asking for invoice of that bill.
5) Transferring the claimed money in their bank account
 COST OF INSURANCE FRAUD (NON HEALTH
INSURANCE) IS $40 BN PER YEAR ACC. TO FBI

ACC. TO AN ESTIMATE INSURANCE FRAUD COST

INSURERS $6 BN PER YEAR IN INDIA ALONE
In Property and Casualty insurance, fraudulent claims account for 5-
10% of all claims and losses at a cost of ~$34 billion every year

The global insurance fraud detection market size

was valued at $3.3 billion in 2021, and is projected
to reach $28.1 billion by 2031, growing at a CAGR
of 24.2% from 2022 to 2031.
PROS OF USING AI
01 PERSONALIZED CUSTOMER EXPERIENCE

02 IMPROVED DECISION MAKING

03 PREDICTIVE MAINTENANCE

04 PROCESS AUTOMATION
CONS OF USING AI
01 PRIVACY CONCERNS

02 JOB LESS
03 OVERRELIANCE ON AI
"DETECT AND REPAIR " TO "PREDICT AND PREVENT"
TRENDS THAT WILL IMPACT THE FUTURE OF
INSURANCE INDUSTRY

1. EXPLOSION OF DATA FROM CONNECTED

DEVICES

2. EXTENDED REALITY

3. DATA PRECISION
 EVOLUTION OF AI IN
INSURANCE INDUSTRY
1950 1980 2010 2017 2020
AI JUST AN BEGINNING INTRO OF PROPERTY PANDEMIC
COMPUTER OF MACHINE DEEP INSPECTION
PROGRAM LEARNING LEARNING
INSURANCE INDUSTRY IN
FUTURE
STATISTICAL DATA OF AI IN
INSURANCE INDUSTRY

1) GROWTH OF AI IN INDIA - 6.92 BILLION

USD BY 2028
2) GROWTH OF AI GLOBALLY 35.77 BILLION
USD BY 2030
NOW AN INTERESTING
QUESTION !!

WILL AI EVER REPLACE

HUMANS ?