Autonomous AI assistants can help insurance organizations by speeding up and automating key processes so underwriters can boost their capacity. This blog highlights three ways insurers can use AI assistants in underwriting workflows.
Much of the discussion around AI assistants’ impacts on different processes is still high-level. However, NeuralMetrics has ready-to-deploy autonomous AI assistant solutions to help expedite and automate key commercial underwriting functions. Here are several ways insurance organizations can use them in their agency:
- Automate Risk Analysis for Commercial Applications – AI assistants can analyze large datasets to identify risk factors and exposures, going beyond subjective assessments. They can automatically construct and apply risk models, improving the accuracy and efficiency of risk analysis.
For processing commercial applications, it is critical to identify potential risks and pitfalls of a business before determining underwriting eligibility. Often, insurers rely on agents to answer risk questions, making the process subjective and dependent on the agents’ and the insured’s understanding of potential exposures. Furthermore, adding risk signals is time-consuming, and effectively integrating and evaluating new risks across the portfolio can pose a significant challenge.
An autonomous AI assistant can be deployed to identify and capture the risks or exposure signals associated with specific businesses. The digital assistant can automatically construct a model using synthetic and user-provided data to capture risk factors. The AI assistant can analyze subsequent submissions once the insurer confirms the model’s efficacy.
- Determine Commercial Underwriting Risk Appetite – AI assistants can be trained on underwriting guidelines and assign business description codes automatically. They can assess risk and determine appetite, ensuring consistency and adherence to guidelines.
Commercial application submissions require assigning business description codes, which can be based on NAICS, SIC, or custom codes. Those codes and further risk analysis determine whether a business is eligible for coverage. For both manual and straight-through processing, it is crucial to determine if an insurable business falls within or outside the insurer’s risk appetite. This information is dispersed across multiple sources and relies heavily on individual abilities to recall and accurately apply the guidelines to each business application.
An AI assistant can ingest various underwriting guidelines and learn how to evaluate submissions effectively. The assistant automatically assigns business description codes according to the insurer’s underwriting guidelines and assesses the risk to determine appetite. Additionally, the AI assistant can be trained with new underwriting guidelines, similar to underwriter training, and it can learn and automatically apply those guidelines to future submissions.
- Streamline Premium Audit for Commercial Policies – AI assistants can automate the premium audit process by reviewing documents, identifying missing information, and ensuring compliance with state regulations. This reduces manual effort and improves audit accuracy.
Commercial audits require manual processing and review, involving auditors to examine state guidelines and documents provided by policyholders meticulously.
An AI assistant can be equipped and set up with comprehensive knowledge of state regulations and submission documents. Using the submitted documents and learning from them, it can autonomously conduct audits and identify incomplete or missing information.
Ready to explore how AI assistants can transform your underwriting workflows? Click here to learn more about how NeuralMetrics autonomous AI assistants can help.