Ageas is set to be the first UK insurer to use Artificial Intelligence (AI) technology across its award-winning motor claims management, working in partnership with Tractable, the AI technology specialists.
This is the first time that an Artificial Intelligence performing an expert visual appraisal has been used in motor claims handling in the UK and represents a significant opportunity for the claims sector. Tractable has developed technology - ‘AI Approval’ - which uses AI to process claims, which saves time, contains costs and has the potential to improve customer outcomes.
At the end of 2016, Ageas completed a successful first-stage pilot with ‘AI Approval’ which performed analysis of several thousand vehicle images involved in accidents or requiring repair. Across these claims, Ageas’s motor engineers were able to verify AI Approval’s findings, which concluded that repair efficiencies in a proportion of claims could be realised, enabling cost savings and engineers to focus on more complex matters.
As part of the ongoing pilot, Ageas is now moving forward with Tractable and putting the technology live to help its engineers verify the performance of its UK-wide repair networks in managing customers’ motor claims.
Commenting on the outcome of the first pilot, Ageas’s transformation director Rob Smale, said: “Our market leading operating method - the Ageas Way - is based on continually seeking new and different ways to achieve a great claims service for our customers. As we have already demonstrated, we are comfortable to go against the grain and try new things to ensure we achieve the right outcomes. The results of our initial pilot are impressive and I’m keen to progress to using this technology at scale.”
Alex Dalyac, Co-Founder and Chief Executive Officer of Tractable, said: “Our AI understands imagery like experts do. It will impact any industry that relies on visual tasks. In automotive, where car driving is the visual task, AI and autonomous vehicles are transforming the industry. The same will happen in general insurance, where claim appraisal is the visual task. AI will eventually enable claim settlement in minutes. Our success with Ageas is a thrilling first step. It’s a delight working with such a pioneering insurer.”
Tractable’s AI Approval works by using software to view images of vehicle damage and makes an assessment within seconds, streamlining a traditionally manual process. Repair estimates can be quickly reviewed and authorised, ensuring reliability and speed throughout the claims process for all.
The technology connects with insurers’ back office systems to streamline claim management processes. It also identifies and flags any suspicious claims for investigation to help prevent fraud.
This approach could reduce the average claims lifecycle, which reduces the cost for insurers. It is providing a more consistent framework, which can help ensure insurers always pay an accurate amount on their claim. It could also provide better outcomes for customers as the policyholder can get their vehicle back sooner - with the ultimate aim of passing any savings back to customers to make insurance more affordable for everyone.