The Quiet Revolution of AI in Insurance

It is striking that many people still believe AI is limited to generative AI, such as ChatGPT. In reality, specific AI has been used in the insurance industry for quite some time. Onesurance focuses on specific AI to support financial services providers in delivering better client outcomes.

Evolution, not revolution

In the insurance industry, what we are witnessing is an evolution of specific AI rather than a revolution driven by generative AI. This (r)evolution is powered by a growing need to serve clients at scale while maintaining a personal touch. Through consolidations, portfolios grow in size while the adviser shortage deepens. Insurance firms are reaching the limits of their growth model.

"This problem can realistically only be solved by deploying data and AI more intelligently," says Dennie van den Biggelaar, co-founder of Onesurance and an econometrist with 12 years of experience as an AI strategist.

Supporting, not replacing

Onesurance's AI modules are not designed to replace advisers and specialists, but to support them in their work. "In the world of insurance, mortgages and pensions, trust is everything: it is and remains a people business," explains Jack Vos, who knows the insurance world well.

Based on historical data, reliable predictions are made for areas such as acceptance, lapse probability, customer lifetime value and effective client management -- ensuring the right client receives the right attention at the right moment.

The power of data masters

The potential to do more with data and AI is significant. According to research by the CapGemini Research Institute among 204 insurers, data masters in the insurance industry achieve revenue per FTE that is 175% higher and are 63% more profitable.

Ethics and responsibility

"You cannot make ethical or moral compromises when working with machine learning and AI," says Van den Biggelaar. "It is crucial that AI experts feel responsible for steering this in the right direction. And we take our role in this very seriously."

Onesurance's AI modules are explainable and transparent by design, and comply with the Ethical Data Frameworks of the Dutch Association of Insurers. In addition, Onesurance works closely with Brush-AI, the Netherlands' first company dedicated to systematically managing the ethical component in AI.

Quality assurance through KOAT

Jack Vos holds a seat on the KOAT advisory committee at SIVI, which was established in 2019. KOAT stands for Quality of Unmanned Advisory and Transaction Applications. "By 'unmanned applications' we mean intelligent software that is capable of replacing tasks, not people. Increasing use of such automated applications in the financial sector, combined with new European regulation, makes quality assurance ever more important to safeguard client interests."

"A technology becomes powerful only when it is embedded in the ethical and human context." — Satya Nadella, CEO of Microsoft