From time to time, a new technology comes along with truly transformative potential, and generative artificial intelligence (gen AI) is no different. Gen AI is a type of artificial intelligence that can produce complex outputs such as text, voice, music, images or videos. By some estimates, it could add up to $4.4 trillion to the global economy each year.
One sector where gen AI has significant transformation potential is insurance, and specifically trade credit insurance (TCI). Let’s take a closer look at some of gen AI’s potential applications in TCI, as well as why human expertise remains critical when adopting emerging technologies.
Insurance in the age of AI
Allianz Trade’s work in TCI involves gathering and analyzing large amounts of financial and extra-financial information in order to assess credit risk and give our customers the appropriate coverage for their transactions. In fact, our database includes credit risk grades on around 83 million companies around the world. This naturally makes gen AI a great fit to augment our work, as the technology can be used to sort through huge quantities of data, extract any relevant information and be even more precise in how we analyze risk. It can also free up much of the time spent on repetitive tasks, making use of people’s expertise more efficiently and further tailoring the support and guidance we provide to our customers.
Specific applications for gen AI
Gen AI offers some fascinating potential use cases specifically suitable for trade credit insurance. For example, when it comes to our risk assessment and grading of companies, brokers and our customers sometimes request more information to better understand our decisions. In this scenario, gen AI could help by providing a more comprehensive explanation of risk assessments in just a few clicks, and enable teams to spend more of their time sharing detailed analysis for each customer or transaction.
Claims processing is another area of TCI where gen AI can have a real impact. The technology could supplement optical character recognition (OCR) to extract information from documents like invoices, credit notes and delivery notes to quickly verify that they match customer files. Gen AI could enhance the processing of extra comments a customer may add to explain a situation, so our teams can provide faster responses to customers. Additionally, gen AI may one day serve as an assistant to claims assessors, pre-assessing claims before the expert carries out a thorough analysis.
Enhancing the work of our dedicated team of experts
While gen AI is poised to revolutionize a whole host of industries, it’s important that the technology is leveraged as a tool to bolster human know-how and expertise, and not the other way around. When it comes to trade credit insurance, gen AI will play a support role, saving time so that the experts can focus on customer relationships and skilled analysis. People will also continue to play a critical role supervising the entire process and making the decisions.
As the global leader in TCI, Allianz Trade is investing in emerging technologies like gen AI to constantly improve our customers’ experience. Today and in the future, our promise to secure your trade ensures your business can grow in confidence.
