August 29, 2023

by porter

Lemonade sets world record with 2-second AI insurance claim payout

The Global Insurance Chatbot Market size is expected to reach $2 6 billion by 2030, rising at a market growth of 24.9% CAGR during the forecast period

Automate conversations and provide instant responses through web chat, social media apps, SMS and email. The insurance industry has readily embraced AI as an opportunity to evolve and improve its business operations, and thus is deploying AI (Artificial Intelligence) solutions across various functional areas. However, most companies still struggle where to begin and have therefore decided -in the first phase- to limit their AI experiments to pilot projects. They’re super handy, particularly as they can answer the most basic questions sent from customers. Don’t get me wrong, customers can ask some very interesting and relevant questions but the ones that you commonly deal with that can be answered in a flash I feel should be directed to a chatbot.

These conversational chat bots are often used for over the phone customers, or apps, Whatsapp, social media and Facebook messenger users. While most customers would prefer not to solely use a chatbot to make a claim, 62% of consumers have interacted with both humans and technology, therefore it is essential to combine the benefits of both. Generative AI can assist claims handlers by quickly accessing customer information to provide a hyper-personalised service. 40% of customers find it frustrating when having to repeat information to agents, with 31% frustrated about an agent’s lack of knowledge, so it is imperative for agents to be armed with customer-specific information. This is particularly relevant in the claims process when customers are questioning the options they have for resolving a claim, as complex claims can involve multiple vendors or suppliers.

Better Customer Retention

This saves time both for users and insurance agents that would have to answer these questions if the bot was not available. Although this is a very over-simplified example of AI in insurance, hopefully you understand the concept and how a chatbot could be deployed by an insurance company in this instance. AI efficiencies mean that smaller tasks in the insurance cycle could be totally automated and could https://www.metadialog.com/ be set to ensure that the customer gets the very best deal, 100% of the time, reducing the margin for error which occurs when a human carries out the same task. Helping with the First Notice of Loss with FNOL automation, or looking to gather all the data you need to process a claim. Chatbots or virtual assistants can help doctors to instantly provide answers on medication, dosages, standards, and more.

While generative AI is a revolutionary technology, it should be considered a tool as part of a wider system. Generative AI cannot be used independently to solve complex business problems; however, it can be used to improve existing operations such as the insurance claims process. To learn more about how generative AI can elevate the customer experience in your insurance organisation, download our whitepaper below.

Are chatbots like Zara intended to replace humans, or support them?

Over the last few months, since the emergence of genuinely smart artificial intelligence systems, some ambitious claims have been made for the technology. More than live chat, Click4Assistance allows you chatbot insurance claims to converse with customers on any of their chosen platforms. Integration with Facebook Messenger, WhatsApp and SMS ensures you include customers that prefer to use social platforms to communicate.

The Chatbot asks a series of questions to customize a travel insurance plan which the customer pays for it with a credit card, all without leaving the chat. Our initial design challenge was how we could automate customer data capture processes. If insurers were to have a digital product chatbot insurance claims that could convert as successfully as telephony, it would have to be incredibly immersive. It was impossible at the time to imagine how chatbots would ever reach a tipping point given that they fell over at the first hurdle, but we believed they would be seen as the new mobile apps.

Caerphilly-based broker Constructaquote, part of Moorhouse Group, has made its chatbot service available on its Facebook page. For consumers that can only be a good thing, lowering prices, and improving the range of services available – even if we do occasionally have to deal with a cranky chatbot that drives us up the wall by misunderstanding everything we ask it. Since the launch of ChatGPT, and rivals such as Google’s Bard, AI chatbots have been taking the business world by storm. Whether they are actually intelligent is a matter for philosophers to debate.