Artificial intelligence (or AI) is helping insurance companies provide better and more simplified health insurance services to customers. It can help improve many aspects of the insurance process, from calculating premiums, to settling cashless claims. Here’s how:
1. Faster Claims
Insurance claims are one of the major aspects of any policy; yet settling health insurance claims manually can be a long process, due to the large number of factors and documents involved. But AI can help to reduce this turnaround time for claims.
By automating the claims process, insurers can quickly detect fraudulent claims and verify genuine ones, as the AI can efficiently analyze data and provide reports based on a set of decided rules faster than any human could!
2. Easy Fraud Detection
As we have seen above, AI can make it easier to detect fraudulent claims by quickly analyzing data and learning to sort it into categories. This can result in large savings for insurers, as their decision-making and insights will be greatly improved, and will also help them to settle genuine claims much quicker.
3. Personalized Health Insurance Policies
AI can help you identify the best policy for you based on your own historical data and current health conditions. It can even help insurers create tailor-made health insurance plans for customers. This way, you can opt for an effective health plan that suits your needs, without paying for any services that you might not need to utilize.
4. Use of Chatbots
Artificial intelligence systems can help power chatbots, which makes it easy for users to interact with insurers. They can generate instant responses to a number of queries and solve various common problems related to insurance claims, documentation, products, and more. Thus, AI helps to provide better customer service management that can be available 24x7. This in turn can help insurers save administrative costs.
5. Accurate Underwriting
Underwriting is how an insurance company evaluates the risk in offering a policy to any individual, which can affect the premium. With health insurance this can be based on many factors, like age, medical condition, pre-existing diseases, and more.
When done manually, this process can be time-consuming and involve numerous medical tests and procedures. But, with technology, AI can accelerate the processes and make faster decisions based on pre-existing data, as well as data from healthcare devices like fitness trackers.
6. Cost Efficient
AI systems can streamline many insurance processes, such as fraud detection or underwriting, and automating repetitive administrative processes. This way, insurers can ensure more efficient operations, and better utilize their resources and expenses.
Additionally, machine learning can create deeper insights into the medical cost of claims, which can help insurers adjust their pricing and risk management. All of the above can make insurance more cost effective for both insurers and policyholders.