FORECAST 2025: GenAI Outlook
Written by: LIMRA
Contributors: Aaron Ball - Aaron B. (New York Life Insurance Company) Chris Blunt (F&G) Caroline Feeney (Prudential Financial) Marc Giguere (Munich Re) Adrian Griggs (Pacific Life) Wade Harrison (Protective Life) Mike James (NFP, an Aon company) Jasmine Jirele (Allianz) Bob Jurgensmeier (Ameritas) Jerry Lyphout (Modern Woodmen of America) Denise McCauley (WoodmenLife) Virgil Miller (Aflac) Sarah Mineau (State Farm) Kamilah Williams-Kemp (Northwestern Mutual)
January 2025
Generative AI (GenAI) is revolutionizing the life insurance industry. We asked our panel what new GenAI tools their companies have implemented in the past year. The executives were very forthcoming about how they are using these tools and how the introduction and transition are going.
While some insurance companies are just beginning to pilot GenAI projects, others are further along in their implementation journey. Industry executives report using GenAI in various ways, including automating underwriting processes, enhancing risk assessment, streamlining claims management and improving customer experience.
Automation and enhanced risk assessment are a couple of the ways that insurance companies are using GenAI. “At Prudential, while we’ve been utilizing artificial intelligence and automation for several years, we believe AI-based tools will continue to enable us to quickly analyze data, make faster decisions, reduce risk and improve the customer experience,” says Caroline Feeney, EVP & Chief Executive Officer, U.S. Businesses, Prudential Financial.
Feeney gave an example of how GenAI is aiding Prudential through digital transformation. “In our pension risk transfer (PRT) business, we have automated some routine tasks such as ingesting documents, extracting key information and identifying missing information. As a result, there has been a reduction in the time and?resources spent on manual processes. This automation has subsequently increased PRT?onboarding capacity.”
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“Key areas we are looking for AI priorities are around automation opportunities such as testing, technology enablement, marketing, training and operations,” says Denise McCauley, President & Chief Executive Officer, WoodmenLife.
Underwriting Support
GenAI is transforming the underwriting process for life insurance companies. “The implementation of AI-driven models?has led to rapidly accelerated medical underwriting decisions with improved accuracy,?enhancing the customer experience,” says Feeney. “Additionally, these models have increased?conversion rates for Prudential advisors. For example, the overall application process is?now 60 percent faster in Prudential’s Individual Life Insurance group and 80 percent of Prudential’s Group Insurance cases are completed in real time.”
“Rather than developing GenAI that would create new data, we are focused ...
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