The world has reached a point in history that puts technology up front in all aspects of life, from houses to businesses, to all types of financial transactions. The world relies upon this innovative technology more and more every day, which means that the speed and bandwidth of internet services must grow, and grow fast. Especially when you are talking about a system that is designed and runs off platforms driven by AI.
This is especially true in the insurance industry because up until now, all the aspects of the process were created, checked, and authorized by people sitting behind a desk and inputting numbers into a computer program that the carrier has chosen to use. Now, that is not the case.
Almost every insurance carrier on the planet today has an AI-driven platform. Do you know those chatbots who seem to know the answers to your questions? That is just one example of AI. Another would be the ability to type in some information and instantly receive offers for an insurance policy that will suit your needs. For many reasons, the only reasonable way to renew your car insurance policy is with Artificial Intelligence (AI), so let’s take a look at some of the most important ones.
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Automation Of Most Insurance Processes
The best thing about car insurance carriers using AI systems is that every process involved with the industry can be completely automated. That means you can go online with your computer, laptop, or even your mobile device and complete any process you need to finish. You can apply for and get an instant response for various levels of car insurance. You can ask any questions you have by using the chatbots, pay for your premiums, download a copy of your policy, and even file a claim.
The AI platforms will allow you to do whatever the system needs to verify, accept, and payout claims when needed. The bottom line is that you will no longer need to get ahold of your local agent and wait for them to get back to you. Everything you will ever need to do regarding your car insurance can be done at any time on one AI-driven platform.
Pricing Will Decrease In The Car Insurance Industry
Prices have been rising for car insurance because of the effects of the pandemic on the industry. Since so many people were sitting at home, not driving around in their vehicles, the policies that would typically help cover the claims filed were no longer available. As you might expect, the insurance carriers began to lose money because the claims being filed cost them more than what they were pulling in with premiums.
Once things begin to settle back down, you will see that a comprehensive car insurance policy will cost as much as the compulsory third-party policy does now. Insurance companies will no longer need agents working for them in towns across the nation because consumers can take advantage of the online platforms run by AI systems. The more Artificial Intelligence that is used, the fewer people will need to be paid by the primary insurance company. This means lower premium costs to you because when they save money, you save money.
Improved Fraud Protection For Insurance Carriers
Fraud detection costs insurance companies millions of dollars annually, not just in preventative measures. People seem to think that since insurance companies have a ton of money, they can afford to give them a discounted price. The way that many people get those discounts is by providing the insurance agents false information on the applications that they fill out.
With the new AI technology, this will no longer be possible because all your information will be stored in a Blockchain-based database that will show any discrepancies in the information given compared to the data on file. For example, suppose you received a ticket for reckless driving a few years ago but decided to not list it on your application. In that case, the AI platform will catch it and adjust the costs of the premiums on any policy they offer you.
The use of AI in the car insurance industry is a huge step forward for you and the insurance carriers because it will make all the business transactions needed easier and more immediate. Suppose you get into an accident while coming home from work. In that case, you can input the information and take all the necessary pictures of the scene.
This makes it easy for the claims process to get started because all the information that the company will need is right in front of them from the start. You may still get a call from a representative to verify the data and to ask any questions that they may have about the accident, but it will only take a few seconds out of your night, giving you more time to figure out how to get back and forth to work until your vehicle is fixed and ready to go.