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InsurTech weekly - Will AI have a minor or transformative impact on insurance?

Discover how generative AI is revolutionizing insurance distribution by enhancing agents' capabilities and enabling customer self-service. Learn about the four transformative ways AI is reshaping the industry, making transactions more efficient and accessible.

Generative AI revamping insurance distribution

The technology will augment insurance agents’ capabilities and help customers self-serve for simpler transactions. As generative AI permeates insurance company operations, early initiatives suggest that the technology will transform distribution in four ways.

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A balanced view on Generative AI in insurance

McKinsey consultants occasionally surprise us. While everyone is buzzing about artificial intelligence—generative AI being the latest trend—they offer a more measured view of its potential in the insurance industry. It may be less flashy, but it’s probably more realistic than most other forecasts.

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Will AI augmente or automate?

Since ChatGPT was released on November 30, 2022, the promise of generative AI to reinvent our world has captured our imagination. We learned new words like “transformer” and “LLM,” and understood that “generative AI” was distinct from “predictive AI.” We saw an explosion of tools with the suffix “-GPT,” and rushed to embed “AI assistants” into our products. In the apps layer, “AI copilots” are everywhere, and more recently, “AI agents” have emerged.

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