Asian insurers' AI-readiness dictates their competitive advantage
Insurance Asia|Issue No. 20
Experts reveal why insurers that adapted Al earlier are now realising bigger extra earnings or cost reductions.
Asian insurers' AI-readiness dictates their competitive advantage

Insurers in Asia are ill-prepared to take a slice from the trillion-dollar market value that artificial intelligence offers for the global insurance industry, McKinsey & Company's analysts revealed.

"For most Asian insurance leaders, traditional organisational structures with multiple intermediaries and limited in-house tech and data resources make it difficult to visualise, let alone quantify, the potential benefits of investing more broadly in AI,' read a report by McKinsey's Hong Kong Senior Partner Violet Chung, Singapore Consultant Pranav Jain, and Chennai Partner Karthi Purushothaman.

These legacy structures meant that insurers are missing out on the US$1.1t of annual value. Approximately US$400b of this could come from pricing, underwriting, and promotion technology upgrades. Another US$300b could come from AI-powered customer service and personalised offerings.

Al has been named by experts as amongst the biggest trends that will shape the insurance industry in the coming years. When applied in tandem with human resource, Al's ability to analyse data quickly and accurately will enable vast amounts of data to be leveraged in efficient and innovative ways. This is the main assertion of business management services company, Accenture, in its Insurance Industry 2023 Outlook.

"What generative AI finally presents for the industry is a very manageably actionable way to start balancing the efficiencies that they're looking to gain with the experiences that consumers are increasingly demanding in the commercial and in the personal space," Daria Sharman said in Accenture's "Insurance News Analysis" segment.

"So when we think about particularly, I talk about underwriting and the challenges of underwriting - and what generative AI finally does is, it gives underwriters and the actuaries of the world both a strategic and a tactical asset," added the senior manager for insurance at digital agency, Accenture Song.

Bu hikaye Insurance Asia dergisinin Issue No. 20 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye Insurance Asia dergisinin Issue No. 20 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

INSURANCE ASIA DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
Poor Tech Locks Insurers Into Outdated Systems
Insurance Asia

Poor Tech Locks Insurers Into Outdated Systems

Only 56% of local insurance companies in Indonesia use IT, and 38% have not embraced digital marketing channels.

time-read
3 dak  |
Issue No. 23
What Insurers Must Do To Withstand Market Shifts
Insurance Asia

What Insurers Must Do To Withstand Market Shifts

Whilst the market drives towards growth, new rules shrink insurer presence.

time-read
3 dak  |
Issue No. 23
EDUARD SARGSYAN
Insurance Asia

EDUARD SARGSYAN

Intelligent decisioning: The essential element of a modern, customer-centric insurance business

time-read
3 dak  |
Issue No. 23
One by MetLife app sets new standard in Nepal
Insurance Asia

One by MetLife app sets new standard in Nepal

With its user-friendly interface and comprehensive services, the app empowers users to take control of their health and financial futures.

time-read
1 min  |
Issue No. 23
Simplifying health and retirement planning
Insurance Asia

Simplifying health and retirement planning

360Health and 360Future provide comprehensive, personalized support for physical, mental, and financial wellbeing, from preventative care to post-retirement life management.

time-read
2 dak  |
Issue No. 23
Cocogen remains committed, compassionate, and genuine amidst insurance innovations
Insurance Asia

Cocogen remains committed, compassionate, and genuine amidst insurance innovations

The company was recognised at Insurance Asia Awards 2024 for its commitment to innovation and customer service.

time-read
2 dak  |
Issue No. 23
Cathay Life insurance strongly supports anti-drug, anti-fraud initiatives
Insurance Asia

Cathay Life insurance strongly supports anti-drug, anti-fraud initiatives

Cathay Life Insurance secured the ESG Initiative of the Year - Taiwan win at the Insurance Asia Awards 2024 by creating an anti-drug and anti-fraud safety net for all age groups.

time-read
2 dak  |
Issue No. 23
Etiqa Insurance launches Tiq CashSaver: A simple solution for short- to medium-term savings
Insurance Asia

Etiqa Insurance launches Tiq CashSaver: A simple solution for short- to medium-term savings

Tiq CashSaver by Etiqa Insurance offers flexible, accessible endowment plans to build one's financial security and achieve short-term goals.

time-read
2 dak  |
Issue No. 23
Great Eastern grooming financial representatives to become the industry's best
Insurance Asia

Great Eastern grooming financial representatives to become the industry's best

This dedication has helped the company produce top-tier financial representatives who are well-equipped to serve clients and excel in their careers.

time-read
2 dak  |
Issue No. 23
Dai-ichi Life Insurance Myanmar has been recognised for Insurance Initiative of the Year 2024
Insurance Asia

Dai-ichi Life Insurance Myanmar has been recognised for Insurance Initiative of the Year 2024

With a robust expansion strategy, innovative financial solutions, and a commitment to community wellbeing, the company is strengthening Myanmar's insurance sector.

time-read
2 dak  |
Issue No. 23