Machine Learning being used by over half of top insurers globally
Over half (54%) of the almost 200 insurance executives recently surveyed said that their organization was using Machine Learning for predictive analytical modelling. Of those deploying the technology, 70% said they were using it for risk modelling; followed by demand models (45%) and fraud detection (36%).
Despite being a relatively new trend, most organisations that use Machine Learning have already been able to realise measurable business benefits.
Figure 01: Shows wide adoption of Machine Learning across the globe
When asked about top benefits realised, according to a report as many as 57% of respondents cited greater analytical accuracy as one of the top benefits
Figure 02: Top three benefits currently realized through the use of Machine Learning Source: Earnix
Some of the key findings of the survey include:
- Machine Learning adoption is becoming a significant trend, used by 54% of all respondents and 60% of those from companies with over 5,000 employees.
- 90% of the survey respondents that use Machine Learning use it in pricing and product management, a result that is likely impacted by a large portion of the respondents coming from these functions.
- When asked about the top benefits realized by their organizations, as many as 57% of the respondents cited greater analytical accuracy as one of the top three benefits.
- The most significant promise and expected benefits of Machine Learning moving forward is in greater automation, productivity, and cost savings.
- Despite the growing adoption, the vast majority of respondents admit significant knowledge gaps when it comes to Machine Learning.
The survey report, named “Machine Learning – Growing, Promising, Challenging” can be downloaded at no charge