Future-Proofing Insurance with a Framework-Based AI Strategy
Autor: Rob van Esch, VP Strategy & Innovation, Keylane
Artificial Intelligence (AI) promises to revolutionise the insurance industry, not only playing a major role in how products and customer interactions are designed, built and optimised, but by offering insurers new tools and capabilities to future-proof against industry changes and disruptions.
And to better understand how to integrate AI into the insurance landscape, forward-focused insurance companies are testing, tweaking, and experimenting with AI, developing the means to improve risk assessment capabilities, optimise customer journeys, streamline the claims and underwriting process and enhance policy portfolio management.
And interestingly, the results of first generation AI implementations have indeed proven the AI promise to be real, but revealed a greater challenge lies not in the technology itself, but in how we operationalise and integrate AI solutions into business operations.
On first reflection, a use case-driven approach to implementing AI may seem practical, as it targets specific needs, but this approach presents significant drawbacks in the guise of fragmented and reactive strategy deployment – solutions developed in isolation that fail to consider the broader business needs of data and process integration.
Another drawback with use case focused AI implementations is their tendency to lead to organisational silos, hindering communication and integration with other systems. Use case implementations add complexity in terms of scaling AI solutions across business operations, which creates increased maintenance demands and unwanted task duplication.
Keylane’s Axon platform, a modern core insurance system for all critical insurance processes, addresses the shortfalls of AI use-case only implementations with its framework-based AI strategy, which is built on two fundamental pillars: data quality and process integration capabilities.
Axon’s data model is structured, complete, accurate, extendable and open; fundamental requirements for building reliable AI models and generating more precise predictions. And, with a vast number of extension points and an open API, AI-driven recommendations and automation can be effortlessly embedded into user dialogs, workflows and customer journeys without disrupting ongoing operations.
Keylane’s framework-based AI strategy delivers a future-fit foundation that accommodates present and future use cases without demanding extensive reworking. In stark contrast to a more reactive use-case driven approach, Keylane’s strategy encourages insurance companies to leverage AI broadly across the entire business, driving growth, long term value and innovation.
Additionally, Keylane’s strategy offers significant architectural advantages through better adherence to present and future compliance requirements. The ever evolving demands of regulatory compliance, especially within data privacy and security, demand a well-defined architectural framework that allows insurers to adapt and comply effortlessly, and with peace of mind.
By laying the groundwork now with its framework-based AI strategy, Keylane ensures its Axon platform will remain a leading insurance industry solution, both fully enabled to support AI implementation strategies and pave the way toward tomorrow’s industry innovations.