Can AI Curb Insurance Fraud?

By Catherine Powell

Image courtesy of pix4free.org

While everyone complains about the high cost of insurance, what most people don't realize is that one of the things that causes rates to rise is insurance fraud.  Far from being a victimless crime, insurance fraud costs every policyholder.  That's because fraudsters bilk the insurance companies for hundreds of billions of dollars per year. The National Association of Insurance Commissioners (NAIC) recently reported staggering losses due to fraud last year that included $74.7 billion in life insurance fraud, $45 billion in property fraud, $36.3 billion in health insurance fraud, and $34 billion in workers comp fraud.  These losses in turn get passed along to each and every policyholder.  While the insurance industry spends a lot of time and money trying to combat fraud, the losses continue to mount each year.  Recent advances in artificial intelligence have brought some new tools to bear in the fight against insurance fraud that not only helps identify fraudulent claims, it can also curtail fraudulent activity.

ChatGPT: Savior, Slanderer or Spy?

 By Catherine Powell

Image courtesy Pixabay

In the past couple of decades the public has seen the arrival of technology that isn't just game changing, it's revolutionized the way we live and work.  Some of these technologies have been beneficial, such as the amount of money saved in postage due to email and texting.  Some of these technologies like ransomware have been harmful.  And some, like autonomous vehicles and cryptocurrency have yet to be decided.  Yet none of the technologies that have come before offer the kinds of promise and perils of artificial intelligence.  To most of us the idea of AI brings to mind dystopian Sci-Fi flicks like 2001: A Space Odyssey where a conscious computer loses its electronic mind, or The Terminator that portends all out war between robots and humanity.  While entertaining, most people don't believe that either of these outcomes is likely to happen.  At least not for another hundred years or so.  Well, I'm here to tell you that a taste of a future where artificially intelligent machines have a profound and sometimes troublesome effect on humankind has already arrived.  What I'm talking about is web-enabled, AI-powered chatbots that do much more than hold a lively conversation with users.  While several are in the beta testing phase, at least one, OpenAI's ChatGPT is not only readily available to the public, it has already created considerable controversy.

Will Artificial Intelligence Make Insurance Smarter?

By Catherine Powell

Image courtesy Pixabay

If you own a top-of-the-line vehicle, you probably realize that artificial intelligence is built-in at the factory.  Everything from automotive autopilots to AI-enabled GPS navigation is standard in luxury cars these days. However, what you may not know is that AI isn’t only being used to help you get from Point A to Point B safely and efficiently, it’s also being used by more and more insurance companies to better serve their customers.  Below are ten ways that AI is improving insurance delivery.