Cyber Insurance Online :: News
SHARE

Share this news item!

Insurers Eye AI for a Technological Future

Insurers Eye AI for a Technological Future

Insurers Eye AI for a Technological Future?w=400
The insurance sector is gearing up for a significant technological transformation with plans to integrate artificial intelligence (AI) extensively in the coming years.
A survey conducted by Earnix highlights that over two-thirds of insurance companies are planning to deploy AI tools within the next two years.
This trend marks a pivotal moment in the industry's journey toward modernization.

The survey garnered responses from 431 insurance executives spanning Australia, Europe, the UK, the US, and Canada. It reveals a dramatic escalation in the anticipated role of AI. "Insurers reported that they expected the impact of AI to nearly double from the last year to the current year, and then more than triple in the year ahead," noted Earnix. The survey indicates a staggering near six-fold increase in industry leaders' belief in AI's business impact over a three-year period.

Currently, less than a third of these insurance firms actively utilize AI models capable of real-time predictive analysis. Most companies rely on analytics primarily for validation rather than for making optimal decisions, which underscores a gap in leveraging technology fully. Earnix finds that many insurers continue to depend on outdated systems, potentially hindering their ability to keep pace with evolving technologies.

Another key insight from the Earnix survey is that nearly 50% of insurers acknowledge being behind on their modernization goals. This lag could prove challenging in adopting breakthrough technologies, especially those linked to AI, advanced analytics, pricing, and underwriting frameworks.

Despite these hurdles, there is a marked intent across the industry to invest more heavily in AI-driven innovations. Many respondents have highlighted increased spending on regulatory compliance tools compared to the previous year. In particular, 68% of insurers in Europe and Australia reported heightened investments in this area. "Insurers in Europe and Australia may have a slight head start when it comes to implementing new technology to help with compliance," the Earnix report stated.

Looking forward, the industry acknowledges being at least two years away from realizing their full AI and analytics potential. However, this sets a clear trajectory for insurers to follow as they navigate the complexities of modern technology adaptation.

This article is based on findings from Earnix as detailed in a recent report.

Published:Tuesday, 12th Nov 2024
Source: Paige Estritori

Share this news item:

Insurance News

Insurers Face Intense Scrutiny Over Quake Claim Rejections Insurers Face Intense Scrutiny Over Quake Claim Rejections
21 Nov 2024: Paige Estritori

In recent months, Muswellbrook, a town in New South Wales, has experienced a series of earthquakes that have left residents grappling with both physical destruction and emotional distress. Criticism is mounting against insurers as more than 600 claims have emerged, following these seismic events, yet many remain unresolved or denied. - read more
AI Regulations: A Web of Complications AI Regulations: A Web of Complications
20 Nov 2024: Paige Estritori

The Insurance Council of Australia (ICA) has raised concerns about the potential fallout from a fragmented regulatory approach to artificial intelligence and automated decision-making in the industry. There is fear that this patchwork of reforms could result in conflicting requirements, heavier compliance burdens, and increased industry confusion. - read more
APRA Survey Reveals Impact of Climate Change on Insurance Industry Practices APRA Survey Reveals Impact of Climate Change on Insurance Industry Practices
19 Nov 2024: Paige Estritori

A recent analysis by the Australian Prudential Regulation Authority (APRA) reveals that over 90% of general insurers and reinsurers anticipate climate change will influence their underwriting procedures, posing new challenges to the industry. - read more
Fraudulent Claims Lead to Complete Denial of Compensation Fraudulent Claims Lead to Complete Denial of Compensation
18 Nov 2024: Paige Estritori

In a remarkable case highlighting the severe consequences of insurance fraud, an individual's attempt to inflate a theft insurance claim has resulted in the total denial of compensation. Despite a significant portion of the claim being genuine, fraudulent actions negated any potential payout. - read more
Soaring Insurance Premiums Amid Changing Climate Soaring Insurance Premiums Amid Changing Climate
14 Nov 2024: Paige Estritori

As climate change persists, the impact of severe weather on insurance premiums is becoming more evident, pushing affordability out of reach for many Australians. Bernadette Systa, a mother of five, faced an undeniable financial strain as her annual home and contents insurance costs surged from a modest amount to more than twice what she initially paid. This experience echoes a growing dilemma faced by households across the country. - read more


Cyber Insurance Articles

Understanding the Risks: How Cyber Threats Can Cripple Your Business Understanding the Risks: How Cyber Threats Can Cripple Your Business
In today's rapidly evolving digital landscape, Australian businesses face an ever-increasing array of cyber threats. From sophisticated phishing schemes to ransomware attacks, these dangers lurk in the virtual shadows, often going unnoticed until it's too late. Recognizing and understanding these cyber risks is not just important; it's crucial for the sustainability and success of any modern enterprise. - read more
Cyber Insurance: Safeguarding Your Business Assets and Reputation in the Digital Age Cyber Insurance: Safeguarding Your Business Assets and Reputation in the Digital Age
Cyber Insurance is a type of insurance policy that protects businesses against internet-based risks and threats. This policy covers damages and losses caused by cyber attacks, such as theft of customer information, network downtime, and damage to reputation. - read more
Cyber Insurance Claims: What Small Business Owners Need to Know Cyber Insurance Claims: What Small Business Owners Need to Know
Cybersecurity incidents are a growing concern for small businesses. These incidents can have disastrous consequences on the affected businesses and their customers. Cyber insurance policies provide a form of financial protection for small businesses in the event of a cyber-attack. This article will provide an overview of cyber insurance claims and its importance for small business owners. - read more
The Essential Guide to Cyber Insurance for Australian Small Businesses The Essential Guide to Cyber Insurance for Australian Small Businesses
In the digital age, Australian small businesses find themselves navigating a world where online presence isn't just an advantage, it’s a necessity. With this increased online activity comes heightened vulnerability to cyber threats, making the protection of digital assets an urgent priority. - read more
Protect Your Data: Cyber Security Measures Every Aussie Company Must Implement Protect Your Data: Cyber Security Measures Every Aussie Company Must Implement
In today’s digital landscape, Australian companies face an increasing threat from cyber criminals. The paramount importance of cybersecurity has never been more evident, with the surge of incidents exposing the vulnerabilities in organizations' digital defenses. As we usher into an era where data breaches and cyber attacks are commonplace, protecting digital assets becomes a crucial part of doing business. - read more
Understanding the Importance of Cyber Insurance in the Digital Age Understanding the Importance of Cyber Insurance in the Digital Age
As we dive deeper into the digital era, the topic of cyber security becomes increasingly critical. With businesses and individuals relying heavily on digital technologies, the threat of cyber attacks looms larger than ever. This introductory section aims to unpack the concept of cyber insurance as a tool to mitigate these risks. - read more
Cyber Insurance: Safeguarding Your Business Assets and Reputation in the Digital Age Cyber Insurance: Safeguarding Your Business Assets and Reputation in the Digital Age
Cyber Insurance is a type of insurance policy that protects businesses against internet-based risks and threats. This policy covers damages and losses caused by cyber attacks, such as theft of customer information, network downtime, and damage to reputation. - read more
Protecting Your Business from Online Threats: The Benefits of Cyber Insurance Protecting Your Business from Online Threats: The Benefits of Cyber Insurance
In today's digital age, businesses are increasingly becoming more vulnerable to online threats. Cyber attacks are not just limited to large corporations. Small businesses are also at risk and can suffer severe financial losses due to cyber threats. It is essential for small businesses to invest in cyber insurance. Cyber insurance offers protection against online threats, providing financial assistance if a company experiences a data breach, cyber attack, or other forms of cybercrime. - read more
Case Studies: The True Impact of Cyber Attacks on Australian Small Businesses Case Studies: The True Impact of Cyber Attacks on Australian Small Businesses
As we delve into the digital era, the number of cyber threats that challenge Australian small businesses is significantly on the rise. Cyber attacks have become more sophisticated, frequent, and continue to disrupt the operations of small enterprises, often with devastating consequences. The need to fortify defenses against such threats has never been more paramount. - read more
Navigating the Aftermath: Your Cyber Attack Recovery Roadmap Navigating the Aftermath: Your Cyber Attack Recovery Roadmap
In an age where digital presence intertwines with daily operations, the threat landscape in Australia has magnified, exposing businesses to an evolving array of cyber threats. From sophisticated phishing attempts to ransomware attacks, the risk of digital insecurity looms large. Australia, with its growing technological adoption, finds itself facing an upsurge in cyber threat incidents year over year. - read more


Your free Cyber insurance quote comparison starts here!
First Name:
Postcode:

All quotes are provided free (via our secure server) and without obligation. We respect your privacy.

Knowledgebase
Insurance broker:
An agent acting on behalf of the insured (not the insurance company) who negotiates the terms and cover provided by the insurer in the insurance policy.