AI: Overhyped Or Underestimated?

Technologies in the artificial intelligence family have great potential in insurance, according to a recent SMA survey of P&C insurance executives.

This should come as no surprise to anyone following the developments in machine learning, natural language processing, computer visioning, chatbots, virtual assistants and related technologies.

After a long and varied history of AI technologies (including the lengthy AI winter), we are now on the verge of the golden age of AI. At least that’s the storyline most have bought into.

But in the context of the insurance industry, is the potential of AI overhyped? Or, despite all the enthusiasm, is the ultimate impact even underestimated?

To answer those questions, it is necessary to examine the technologies and their possible uses. There is not one easy way to express the potential of AI for P&C. And much of the actualization depends on the time frame.