Digital Transformation in Insurance (Underwriting): A Case Study of Innovation
Artivatic.ai's advanced solutions revolutionize underwriting and risk assessment, leveraging AI and real-time data to enhance efficiency and customer satisfaction in the insurance sector.
In a world where digitalization is not just an option but a strategic imperative, the insurance sector is not far behind. The NASSCOM report, "Digitalizing Insurance: An Indian End-Consumer Perspective," highlights how technology is revolutionizing insurance services to meet the digital-savvy consumer demands.
In the rapidly evolving landscape of digital transformation, insurance companies are increasingly adopting innovative technologies to enhance their operations and customer experiences. Artivatic.ai exemplifies this trend through its pioneering solutions that address critical challenges in underwriting, risk assessment, and customer engagement.
The digital age has rewritten the rulebook for insurance, and Artivatic.ai is at the forefront of this transformation. NASSCOM’s report showcases a groundbreaking case study of Artivatic.ai, which redefined underwriting at Aditya Birla Sun Life Insurance (ABSLI) with its cutting-edge AUSIS and ProdX platforms.
Challenges in Traditional Underwriting Systems
Traditional underwriting systems in the insurance sector often face several limitations:
Manual Processes: Many traditional systems rely heavily on manual processes, leading to inefficiencies and higher chances of human error.
Lack of Integration: The absence of seamless integration with external data sources and other internal systems hampers comprehensive risk assessments.
Limited Automation: Automated decision-making capabilities are often restricted, resulting in slower processing times and higher operational costs.
Data Utilization: Insufficient use of past experiences and external data sources can lead to suboptimal underwriting decisions.
High Costs: For populations beyond tier 1 and tier 2 cities, the high cost of underwriting contributes to increased premiums, limiting the accessibility of insurance products.
Highlights from the Case Study of AUSIS UW Platform for ABSLI
Self-Learning Risk Scoring Model: Integrates seamlessly with existing systems, leveraging both digital data and OCR/ICR data for decision making.
Comprehensive Risk Assessments: Uses external data sources to build a detailed and in-depth risk profile, including health scores, financial scores, weather/sanitation scores, and location risk scores.
Real-Time Processing and Digitization: Processes and digitizes all kinds of physical documents related to KYC, financials, and medical reports, enhancing fraud detection and risk management.
Rapid Decision-Making: Proposals are processed in seconds for straight-through processing (STP) eligible cases, showcasing exceptional efficiency.
Key Features of AUSIS and ProdX
Integration with Existing Systems: Connected to the client’s policy admin and underwriting systems through microservices.
Built-in Risk Scoring Model: Provides recommended decisions for every proposal with a self-learning model.
API Integration with External Data: Enhances the underwriting risk score with comprehensive external data insights.
Detailed Risk Insights: Offers a 360-degree view to underwriters with graphical and visual representations for easy understanding.
Document Digitization: Analyzes digital data to identify fraud risks, health risks, credit risks, and identity theft attempts.
Configurable Rule Engine: Over 300 parameters are available, with easy configuration for new rules and authority levels for rule approval.
Artivatic.ai's Transformative Solutions
Artivatic.ai's platforms, AUSIS and ProdX, are designed to overcome these challenges by introducing a range of advanced features and capabilities.
Integrated and Intelligent Underwriting
Microservices Integration: The platforms integrate seamlessly with the client’s policy administration and underwriting systems through microservices, ensuring smooth data flow and process automation.
Self-Learning Risk Scoring Model: The built-in risk scoring model continuously learns and adapts, incorporating digital data and optical character recognition (OCR /ICR) data for more accurate decision-making.
Comprehensive Risk Assessments
External Data Integration: API integrations with various external data sources provide a multifaceted risk profile, including health scores, financial scores, weather/sanitation scores, and location risk scores.
360-Degree Risk Insights: Detailed risk insights are presented through graphical and visual representations, offering underwriters a comprehensive view of each proposal's risk profile.
Real-Time Processing and Decision Making
Document Digitization: Physical documents related to KYC, financials, and medical reports are digitized and analyzed in real-time to identify fraud risks, health risks, credit risks, and potential identity theft with AI/GenAI.
Fast Decision-Making: The platform significantly reduces proposal decision-making time to mere seconds for straight-through processing (STP) eligible cases, enhancing operational efficiency.
Configurable Rule Engine
Rule Configuration: With over 2500+ frequently used parameters, the underwriting rule engine is highly configurable, allowing easy addition and modification of rules. Authority levels ensure that rules are approved with defined start and expiry dates.
Quick Rule Decisions: Integrated with AUSIS, the rule engine provides quick underwriting decisions for every proposal, streamlining the underwriting process.
Technological Innovation and Business Impact
Artivatic.ai's solutions not only streamline operations but also reimagine the insurance landscape by introducing innovative technological advancements.
GenAI and Advanced Analytics
Underwriting Case Sheet Preparation: Utilizing GenAI for the preparation of underwriting case sheets enhances the accuracy and efficiency of the underwriting process.
Customer-Centric Analysis: GenAI analyzes and interprets parametric data to contextualize policy cases, pricing, and risk evaluation, ensuring a healthier insurance portfolio.
Increased Adoption of AI Technologies: GenAI is integrated for better customer and agent interactions, enhancing productivity and customer engagement.
Enhancing Customer and Agent Experience
Lead Scoring: Customer and agent lead scoring improves agent productivity and increases the customer share of the wallet.
Health Vitals Analyzer: 30 seconds Face video based Health vitals predictions like age, gender, smoking, blood oxegen and more empowers the customer experience. The health vitals analyzer promotes the adoption of Ayushman Bharat Health Account (ABHA) and aggregator-based medical and financial records, facilitating better health and financial assessments.
Impact on Metrics
Efficiency: Proposal decision-making time is reduced to seconds for eligible cases.
Detailed Analysis: Classification and data extraction from KYC and medical reports within one minute.
Fraud Detection: Enhanced through real-time data processing and digitization.
Customer-Centric Policies: GenAI is used to analyze and interpret customer-centric data, ensuring better policy contextualization, pricing, and risk evaluation.
Business and Tech Priorities for FY2025
Looking ahead, Artivatic.ai aims to focus on several key priorities to continue driving innovation and efficiency in the insurance sector:
Risk and Compliance Management: Enhancing risk management frameworks and ensuring compliance with regulatory requirements.
Technology Innovation: Continuously improving technological capabilities to stay ahead in the competitive landscape.
Product Development: Developing new and innovative insurance products to meet evolving customer needs.
Customer Acquisition and Renewals: Implementing strategies to attract new customers and retain existing ones.
Policy Sales and Servicing: Streamlining policy sales and servicing processes to enhance customer satisfaction.
Claims Management: Improving claims management processes to ensure timely and fair settlements.
Artivatic.ai's innovative solutions are transforming the insurance industry by introducing advanced technologies that enhance efficiency, accuracy, and customer satisfaction. By addressing the limitations of traditional systems and leveraging the power of AI and machine learning, Artivatic.ai is setting new benchmarks for underwriting, risk assessment, and overall insurance operations. This case study not only highlights the significant impact of digital transformation in insurance but also underscores the potential for future advancements in the sector.
For demo for AUSIS Platform, write to contact@artivatic.ai