Insurance in the Age of Generative AI

There’s a prevailing sentiment that AI has the potential to revolutionize, if not disrupt, the insurance sector—a claim supported by insurers’ long-standing engagement with AI. The term “transform” can capture genuine innovation or be misused as a mere buzzword. For instance, Lemonade’s Q1 ‘23 shareholder letter cited over 100 generative AI business processes. Surprisingly, their following letter mentioned none. This research paper will guide the reader through the basics of AI and the popular topic of Generative AI (GenAI). We aim to strip away the hype, relying on insights from the Coverager community.