The Trade-Off To Using Artificial Intelligence To Speed Up Claims

 Friday, August 31, 2018

 Canadian Underwriter

Canadian insurers wanting to handle claims like Lemonade are going to have to accept some trade-offs, a Claims Summit speaker said Tuesday. New York City-based Lemonade Insurance Company uses artificial intelligence and says it can handle some claims in three seconds. Lemonade claimed earlier that it set a world record when a customer who submitted a claim electronically — for a $979 parka — had the claim closed within three seconds. Within that three seconds, Lemonade says, Lemonade’s claims bot “reviewed the claim, cross referenced it with the policy, ran 18 anti-fraud algorithms on it, approved the claim, sent wiring instructions to the bank” and informed the customer that the claim was closed.