The aim of the work is to substantiate the impact of new
technologies on the development of insurance, the need to change its business
model, approaches to setting rates and attracting customers. The work is
devoted to the comparison of pros and cons, the search and analysis of
promising opportunities. Examples and opportunities for the use of artificial
intelligence (AI) and machine learning (ML) in the insurance business are
shown, and attention is paid to the disadvantages and risks of their use.
Applications of AI in insurance: customer interaction, financial consulting
and personalization, contract servicing and omnichannel, smart contracts,
affective computing, loss adjustment, anti-fraud, medical insurance, vehicle
and real estate insurance. Figuring out the advantages of AI: high decision making speed, no human error, no emotion, 24/7 availability, reduced risk
of human injury, reduced cyber threats. Disadvantages: high time and
money costs, lack of creativity, lack of understanding of emotions, job cuts,
lack of human ethics, scalability of hacker attacks. AI-based systems can
subsequently take over many of the decisions that humans made.