ChatGPT and Generative AI in Insurance: Reality, Hype, What's Next, and How to Prepare

ChatGPT, a conversational AI model built by OpenAI, is the most talked-about technology of 2023. And it has piqued the interest of insurance industry leaders. But where exactly will ChatGPT, and generative AI broadly, have the greatest impact? And what are its most and least promising use cases?

Generative AI is set to revolutionize various types of insurance. Based on the impact of the technology in the US, property and casualty insurance will be the most transformed and health insurance will be the second-most impacted. However, life insurance is expected to be least impacted by generative AI, especially in the short term. 

Over the course of the next three years, there will be many promising use cases for generative AI. The most valuable and viable are personalized marketing campaigns, employee-facing chatbots, claims prevention, claims automation, product development, fraud detection, and customer-facing chatbots. Although there are many positive use cases, generative AI is not currently suitable for underwriting and compliance. 

While generative AI's rise was sudden, it will take time for insurers to fully embrace its power and potential. In the full report, we delve into the future of generative AI and provide actionable steps for insurance providers to prepare for its rise. Click here to purchase this report directly from Insider Intelligence.