Next-Generation Augmented Underwriting with Artificial Intelligence (AI) solution launched in Asia

Artificial intelligence (AI) is rarely out of the headlines these days as businesses and consumers grapple with its implications and strive to find practical use cases.

A recent research paper out of the University of Pennsylvania predicted insurance would be among the sectors with the highest exposure to generative pre-trained transformer (GPT) technologies.

Munich Re has been at the forefront of AI applications in underwriting for many years now and has now launched its next-generation AI-augmented underwriting solution in Asia, powered by Munich Re Automation Solutions new Predictor technology platform. 

Today's insurance landscape requires seamless, personalised, and digitally-enabled customer experiences. However, traditional underwriting processes can still be inconvenient, time-consuming, and intrusive, creating barriers to entry and impeding sales. 

Additionally, insurers are exposed to costly non-disclosure or fraudulent behaviour.  

Our AI-augmented underwriting solution is designed to address these challenges by leveraging AI and data to significantly improve the customer experience, operational efficiency, risk selection, and sales and profitability for life and health insurers. 

At its heart is Predictor, a cloud-based AI platform that enables secure, compliant data flows and the development, deployment, monitoring, management, and continuous maintenance of AI models embedded in the underwriting or claims process. It is integrated with our ALLFINANZ SPARK and NOVA underwriting solutions.  

We handle the end-to-end process of AI model development, deployment, monitoring, and maintenance. This includes comprehensive AI risk implication reporting and responsible AI tools and governance frameworks to expedite internal and external sign-off processes as needed.  

Uniquely, we also offer reinsurance on policies underwritten by these AI models as an optional service, providing insurers alignment of interest and peace of mind. To further support insurers, we can also finance the solution through reinsurance, mitigating any financial strain on insurers' IT/operations budget. 

Speaking about the launch, Ross Mayne, our chief executive officer said: "Munich Re’s next-generation AI-augmented underwriting Predictor platform is a critical evolution for insurers powered by data, technology and AI.

“We believe combinations of rules-based analysis, third-party data and AI should work together flexibly, seamlessly and transparently to meet the very highest expectations of insurers, distributors and consumers. This development represents another very significant step forward and we are committed to continue to support our customers on that journey.”

To coincide with the launch of Predictor, we have published a whitepaper titled: "Next-generation AI-Augmented Underwriting: Transforming Customer Experience, Distribution and Operational Efficiency," highlighting the transformative impact of AI in the life insurance industry. 

Its author, Lee Sarkin, chief analytics officer, APAC, Middle East, Africa, Life and Health at Munich Re explained the platform’s unique selling points: "It offers trustworthy AI with sustainable risk impacts, giving peace-of-mind through our deep domain knowledge, AI risk governance approach, modern MLOps technology, acceptance of insurance risk on AI models via reinsurance and financing that vendors or consultants cannot provide.” 

Our packaged offering of end-to-end technology, underwriting rules and AI models empowers insurers with next-generation underwriting journeys, managing complexity and ensuring a rapid go-to-market pathway that is faster, more efficient and cost-effective than in-house development. With its AI-augmented underwriting solution, we are driving the future of underwriting in the life and health insurance industry, delivering enhanced customer experiences, operational efficiency and profitability for insurers. 

Munich Re’s AI solutions are now available to life and health insurers in Asia Pacific, Middle East and Africa. 

To find out more contact us at dsenquiry@munichre.com