AI in Auto Insurance – Current Applications
KPMG estimated the size of the automotive insurance is expected to shrink by 70% due to the rise in demand for autonomous cars and the shift in liability then being placed on the car manufacturer. With the rise of AI in most sectors, it follows that AI would find its way into the automotive insurance world. AI may allow car insurance companies to keep up with an evolving consumer base that is looking for faster service, faster payouts, and policy prices tailored to them.
Recently, we published a report looking at the AI initiatives of the 4 largest insurance companies in the United States. This report seeks to cover the AI initiatives of the auto insurance sector, specifically. As of now, numerous companies claim to assist auto insurances in aspects of claims processing to handling customer support.
We researched the space to better understand where AI comes into play in the auto insurance industry and to answer the following questions:
- What types of AI applications are currently in use in auto insurance?
- What tangible results has AI driven in auto insurance?
- Are there any common trends among these innovation efforts? How could these trends affect the future of auto insurance?