AI Set to Transform Insurance Industry: Key Insights from Latest Market Research
Artificial intelligence is poised to fundamentally transform the way insurers interact with their customers, according to the latest market research from today and tomorrow. The study reveals significant acceptance of AI-driven solutions among consumers, particularly in areas that offer speed, flexibility, and reduced sales pressure.
Customer Demands Drive AI Adoption
Customers, especially younger, educated, and tech-savvy individuals, are increasingly open to AI applications in the insurance sector. Between 55 and 75 percent of respondents can envision using AI throughout their customer journey. The desire for comfortable, flexible, and cost-effective solutions is a key driver of this acceptance.
AI Chatbots on the Rise
AI-based chatbots like Chatgpt and Gemini are becoming an attractive information source for many insured persons. Over half (54 percent) can imagine using these tools for insurance issues, while 21 percent have already utilized them. This trend underscores the importance for insurers to ensure accurate and up-to-date information about their brand and products through AI tools.
AI in Customer Service: Benefits and Limits
The willingness to interact with AI systems in customer service is high, given ease of use. Three out of four respondents would agree to appointments via chatbots, and around 60 percent see them as suitable for contract issues or address changes. However, there’s skepticism regarding sensitive issues like damage settlement or health data, where many still prefer human contact.
Balancing Automation and Human Touch
A central finding of the study is that insurers must differentiate their AI strategies to cater to tech-savvy and less digitally-affine customers alike. Effective introduction of AI applications requires tact, transparency, and the option to switch to human contact. Poorly implemented AI can strain customer relationships, warns Robert Quinke, managing director at today and tomorrow.
Future Implications and Responsibilities
The study concludes that AI offers great opportunities for the insurance industry, but also carries significant responsibility. Long-term success in digital transformation depends on immediate, tangible benefits and efficiency gains for customers. The balance between automation and human interaction remains a crucial topic.
This research is based on a representative online survey of 1,000 German citizens aged 18 to 70 years, providing a snapshot of current attitudes towards AI in the insurance sector.
For more insights and updates on how AI is reshaping the insurance landscape, stay tuned to archyde.com.
