Original article was published by Vainateya Deshmukh on Artificial Intelligence on Medium
Artificial Intelligence in Automobile & Insurance Sector
AI is a wide range of computer science branch with building the machines which are capable enough to perform a task that usually requires human intelligence, has an interdisciplinary science varying different approach by advancing in Machine Learning and Deep Learning creating the shift of technology in every sector of the Industry.
In today’s world, the capabilities of AI are innumerable and beyond the scope of imagination. AI will be the backbone for the era of connectivity and automation which powering the analytics, decision making, optimizing the traditional processes around the various sectors like Retail, Agriculture, Construction, Aerospace, Manufacturing, Telecom, and Robotics.
The global AI market size is expected to reach USD 39.9 Million in 2019, which is growing at a CAGR of 42.2% from the year 2020 to 2027. Tech giants like Google, Microsoft, Apple, Facebook, Amazon are investing a significant amount every year to make consumer experience smooth and at one touch result in research and development of AI.
In the coming years, AI will not be limited to supercomputers and big devices but would be available everywhere for everyone’s use. Let’s have a look at some of the major AI applications.
- AI in keeping Drowsy Drivers Awake
In many countries, fully automatic vehicles are a dream to be happening as various infrastructure obstruction are there which needs a whole new transformation. Till then we all are dependent on drivers and for them falling asleep while driving poses a serious and potential risk. Organizations like Bosch and Panasonic been working on this tech from long back, but now it catching the eyes of the automotive and logistics sector due to increased accidents.
Let’s get deep into this topic
During any travel or journey, drivers give many steering inputs to guide their vehicle. Fall off concentration and tiredness gives undermine steering behaviour and reduce drives reaction time. To avoid uncertainty the driver’s drowsiness detection searches for the features in the driver’s behaviour. The system works with a combination of camera and sensors which constantly monitors the driver’s features like blinking features, facial expression, heat loss from the body etc. This type of information is gathered with the in-vehicle environment and engine conditions. This helps AI to pass a judgement about how much drowsiness driver has.
The system is accurate enough to adjust the in-vehicle environment according to driver drowsiness so to keep them comfortably awake. Here the main factor of keeping the driver awake is thermal sensation. Most of the time driver get drowsy when they are warm or the environment is to dim. By detecting a driver’s drowsiness, the system adjusts the airflow within the vehicle’s environment. Changing the airflow and temperature combined with adjusting the brightness of the environment helps in overcoming drowsiness. While all this happening the drivers don’t get to know that they are being continuously monitored right from the start of the journey. The datasets created from these features help AI to train the model and predicts the level of drowsiness soon before the diver starts feeing it.
2. AI in Insurance Sector
In today’s world everything everyone needs on their fingertips and doesn’t have to go for much of paperwork and a personalized experience are the new status symbol, but delivering them to the current market would be next to impossible without AI.
Now understand the use of AI for the insurers, but before starting in AI development insurer must know the expectation of a modern consumer. An insurer can create a unique customer experience for one who is looking to buy or renew property and casualty insurance. With the help of analytics, the insurer can improve customer service and internal operation.
Let’s see how AI will impact the insurance industry
The underwriting process is much of evaluating and analysing the risk involved in insuring the people and assets traditionally it is overseen by the people. With the help of AI, it can be done faster on criteria basis and generating accurate pricing result and risk assessment.
Here the advent of AI is not eliminating the human element completely but helping the underwriters and their decision-making process, doing ease and more accurate figures.
AI will help underwriter to look at current and past pricing and risk level which give a different approach to price the polices without leaving money on the table. The risk management based on the historic data, underwriters monitors the policies and customer insureds at the time of coverage. Helps to improve the relationship with customers.
Claims have been a historical process for analysing the injury or damage and have to deal with multiple points of contact. Here where AI can help with the integration of IoT and smart gadgets infiltrating in every aspect we use for example vehicles, fitness trackers, home assistants, cell phones and smartwatches the data captured from these devices will help insurer company to track down the impact of damage to property and health casualty, prevent from the fraud claims.
The AI can help in assigning agent, access coverage levels and stay in contact with the consumer throughout the claim process.
c. Generating Business
AI can help insurers to generate new customer base from the learning of past experience gives a personalized experience to customer to decide their policy coverage without any human interaction. AI can recommend the coverage levels based on the historical data of the customer buying behaviour to find best-fit profiles. This will help the agents to pitch the customers to use digital platforms and do less paperwork.
In today’s world, with a lot of insurance company in the market, the insurers have to develop new product to stay competitive. AI can help to develop profiles of the customer; which marketers can use to design and strategies their marketing campaign. AI will help in monitoring awareness to interest to decision to action and final sale done to the potential customer at each stage.
e. Customer Experience
All this traditional process of insurances is time-consuming and here they are improved by AI — underwriting, claims, generating business, marketing, operational efficiencies help at improving the customer experience. In the end, customer satisfaction is the value-adding an element to any insurer.
Customer is expecting their priority before and after-sales process where insurer puts a level of attention with the help of AI insurers can attend every customer by understanding their needs regarding the policy.
AI depends on the Data from the insurers for that they need the strong data analytics solution that can collect, analyse, manage and report on the data they collect. Once perfect data is collected the AI can be deployed in the market for the reliable customer experience and to make the best of a decision tool for the insurer regarding the coverage of policies.