Japanese Insurer Replaces Claims Workers With IBM Watson

A Japanese insurance firm has announced that it is replacing human workers with IBM computers to save on costs and improve productivity. Fukoku Mutual Life Insurance has told local media that it is supplanting 34 claims workers with the IBM Watson Explorer beginning this month. An online report from Quartz said the move will cost the firm nearly $2 million for the installation of the artificial intelligence system, and $128,000 for annual maintenance. But the company expects to realize $1.1 million in savings per year on employee salaries and a 30% improvement on productivity, which will result on a return on investment within two years.