Sunday, October 22, 2017

Business Insurance Update from CNC Insurance Associates. “ Artificial Intelligence Missing Human Advocacy in Insurance”. 10-22-17

It seems more and more calls are answered by robots. Call your credit card company, bank, even your electric utility and you are met with a voice activated robot that talks and acts like a human being. This is an example of artificial intelligence (AI) servicing our world of commerce. The insurance industry is now adopting this same approach. Call the 800 number and the insurance company robot is there to  process your premium payment, take your claim, and even make changes to your policy. The insurance industry looks at this as a major opportunity for cost savings as AI is replacing the need for humans. This also affects your local insurance agent or broker. If you can easily have your insurance transactions serviced by robots then what will you need your agents for? The answer to this question is advocacy. Your agent is your only hope to advocate against the very large and powerful insurance industry. Your local agent has relationships with company underwriters and upper management that can override the robots and help customers. Insurance is a confusing and complicated industry. As a consumer you have no hope of getting advocacy or having someone fight in your corner if you have to depend solely on the robots with programmed AI. This is becoming more and more evident as policyholders find themselves trying to find people to help deal with their service questions and problems. Don’t give up on human beings. Even more, don’t give up on your local insurance agent or broker. They are the only friend you will have in the tough game of insurance. Until next time be careful out there and know your risks.

G. Kevin Nemith,
 Area President & Managing Director CNC Insurance Associates & The Hilb Group