The most appealing aspect of artificial intelligence (AI) to consumers in the insurance sector is the potential for which it can speed up service, according to a new report.
GlobalData’s Artificial Intelligence in Insurance report in part outlines the results of the company’s 2024 Emerging Trends Insurance Consumer Survey, which was conducted across 11 countries and had a total of 5,520 respondents. It outlines that consumers indicated the speed at which they could contact insurers and resolve issues to be the most compelling potential use of AI for them within the sector.
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“The clear most popular response to which AI feature would be most useful was 24/7 availability, with nearly half of the respondents selecting it – but all of the top responses revolved around hearing back from insurers quickly,” the report states. “The least-selected option was that consumers would prefer insurers did not use AI at all – which suggests the vast majority of insurance customers do believe that it has a place.”
Uses of AI in insurance
Among the top responses the question “What AI-based feature would be most useful to you from insurers?”, 48.7% of respondents indicated 24/7 availability, 38.2% instant responses, 37.8% faster claims processes, 34.2% efficient and 30.3% faster application processes.
The report acknowledges that the use of is AI still at a relatively early stage within the insurance industry and that consumers and companies are still getting to grips with it. It notes, however, the survey as having found that “a large proportion of insurance customers around the world are open to trying it across various sections of the insurance value chain”.
The survey also revealed that younger consumers are much more open to trying the technology and need less convincing to do so. Only 6.9% of respondents in that age bracket indicated that they would prefer if consumers didn’t use AI for customer service compared to 16.9% across all age groups.
“This, combined with the expected improvement with AI technology, and importantly how insurers incorporate it, suggests that AI has a very significant role to play in the insurance industry over the next decade,” the report says.
