The problem: AI adoption in P&C insurance is lagging compared with other sectors, largely due to complex and inconsistent data across commercial lines, per Insurance News Net.
And USAA’s VP of P&C Risk Christy Kaufman told Insurance News Net, “I truly believe the biggest risk that all of [P&C insurers] face is not taking enough risk and not moving fast enough and getting outpaced by the competition if we’re too reluctant to embrace these new solutions.”
A potential solution: But data augmentation—or cleaning, restructuring, and properly labeling data—could drastically improve P&C insurers’ AI adoption. According to Guidewire, this process entails: