September 22, 2023

This yr’s InsureTech Connect convention introduced collectively an unbelievable group of carriers and among the business’s most revolutionary insurtechs to attach over the expertise that’s reworking the insurance coverage panorama. ITC supplied a chance to know what’s taking place within the insurance coverage neighborhood proper now, what carriers are enthusiastic about and what’s subsequent for the business. I wished to share a number of insights from ITC, together with how carriers can take motion on the concepts and choices they discovered about on the convention.

AI has reached viable maturity and is quickly turning into an business commonplace

In all places you turned at ITC, somebody was demonstrating their AI experience. From unstructured knowledge digitization, to streamlined claims processing, fraud detection and extra, insurtechs are shortly scaling and diversifying AI to unravel every kind of enterprise issues. As we talked about in our latest report, Why AI in Insurance Claims and Underwriting?, AI has reached maturity and is now not theoretical or futuristic. On the similar time, the prices related to AI improvement and implementation have come down considerably. The abundance of those options at ITC is additional proof that AI can meet the insurance coverage business the place it’s at to ship worth. Widespread adoption of AI throughout the enterprise isn’t simply inevitable, it’s important to remain aggressive.

Pleasure within the house is palpable, however the variety of gamers may be overwhelming

The vitality at ITC was inspiring. The convention had unprecedented attendance and the joy amongst attendees was electrical. It’s clear that carriers are enthusiastic about transformation and what it means for his or her enterprise. On the similar time, there have been so many firms showcasing their options that it’ll seemingly be a problem for carriers to resolve which of them take advantage of sense for his or her transformation journeys. We really feel it’s most essential to:

  1. Have a transparent view of what capabilities you suppose you wish to purchase or associate for and what you favor to construct by yourself. The sheer variety of choices is overwhelming and curating a extra particular set of targets based mostly on the class of functionality or a side of the worth chain is important.
  2. Count on to do among the lifting in the case of integration and redesign. Whereas innovation and creativity abound inside the insurtech neighborhood, many solely supply level options that serve a selected a part of the worth chain or line of enterprise. You and your groups will want to consider integrating insurtech options into your ecosystem and processes.
  3. Preserve your thoughts open to the alternative ways you and what you are promoting can become involved with AI adoption. You possibly can spend money on options, associate with insurtech suppliers to create new options or purchase a smaller group. Decide what makes probably the most sense for what you are promoting’s long-term digital technique.

Regardless of the hype, there’s nonetheless a number of work to be completed

Whereas ITC attendees have been clearly passionate about transformation and that progress has been made to get expertise prepared for carriers and their groups, what we noticed on the convention is just the start. There’s nonetheless a number of work to be completed to get to the place we wish to go. Lots of the periods targeted on the advantages of transformation, how you can prioritize transformation initiatives and, merely, the place carriers ought to even start. This revealed that almost all carriers are nonetheless taking the primary steps in direction of digital transformation and that there’s nonetheless loads of room for main innovators to tug forward.

It’s not stunning that insurers are extra methodical of their method to vary than most industries. Nonetheless, this yr the momentum has positively shifted away from speaking about transformation and moved in direction of motion.

Whether or not you attended ITC 2022 or not, I’d love to attach with you about your group’s digital transformation technique and talk about how one can take the subsequent steps with options like AI in what you are promoting. Be at liberty to succeed in out to me right here.

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