Reverse Engineering AI: Exposing the Insurance Industry's Dodgy Secrets

Having been directly involved in building these systems—designing, training, and deploying sophisticated machine learning models—I’ve seen first-hand how these tools are used to predict and influence consumer behaviour. But now, I’m switching sides. It’s time to shine a light on what these algorithms are doing and empower consumers with the insights they need to fight back. Let’s dive into how the insurance industry is a perfect case study for this imbalance of power.

And don’t worry—not all insurance companies are advanced in AI. I’d say about 80% of them are still reliant on basic BI tools or what an average consumer uses in daily life I-e Google Street Map. But there are a few out there pushing the boundaries with true AI advancements. I’ve worked with some of those cutting-edge players, and believe me, they’re leagues ahead in sophistication.

Reverse Engineering AI: Exposing the Insurance Industry's Dodgy Secrets

Let’s face it: companies are obsessed with us. They spend billions on AI and machine learning to predict, classify, and quantify everything about us—how we think, what we want, and how much they can squeeze out of us. Sounds harmless, right? Except it’s not. These businesses wield incredible financial power, and they use it to build tech that knows us better than we know ourselves but in reality they are not as advanced. Meanwhile, we—the customers—are clueless about what’s really happening behind the scenes.

Nowhere is this imbalance more glaring than in the insurance industry. You buy home insurance, car insurance, health insurance, maybe even pet insurance, and they tell you to "check the reviews on Trustpilot!" But here’s the catch: Trustpilot reviews for insurance companies are as useless as a chocolate teapot. Let me tell you why.

The Trustpilot Trap: Judging the Wrapping, Not the Gift

Trustpilot reviews measure first impressions—sign-up experiences, pricing, and other shiny distractions. But insurance isn’t about the "welcome party." It’s about the outcome—how well they handle your claims. Imagine rating a builder who smiled, gave you a great quote, but left your house crumbling. You wouldn’t, would you? Yet that’s exactly what we’re doing with insurance companies.

Think about it: Are those five-star ratings coming from someone who’s just renewed their policy or a new customer charmed by a slick sales pitch? Probably. Are they coming from someone who’s had their claim rejected three months after a burst pipe flooded their home? Absolutely not.

Trustpilot is perfect for rating your favourite café. But for insurance companies? It’s like judging a marathon runner by their outfit, not their performance at the finish line.

The Dark Arts of Insurance Algorithms

Insurance companies don’t just rely on charm to win customers. They’ve got an army of algorithms working to maximise their profits—often at your expense. Here’s how they play the game assuming they are good at AI:

1. Deny, Deny, Deny: AI scans claims for "red flags," making rejection easier than approval. It’s not about fairness; it’s about profit.
2. Dynamic Pricing: Ever noticed your premium creeping up? Their algorithms know you're unlikely to shop around, so they quietly hike your renewal rates. They, all act together on pricing.
3. Delay Tactics: Customer service AI is optimised to frustrate you just enough to give up on pursuing that claim.
4. Profiling Risks: ML models categorise you into risk buckets. Got a name that suggests you live in a certain postcode? They might use that to charge you more or scrutinise your claims harder.

These tactics aren’t just unfair; they’re hidden. You don’t get to see the algorithm that decided your premium or denied your claim. You’re left guessing while they rake in the profits.

The other dimension besides AI is "Open Robbery".

Rating Insurance Companies on Outcomes, Not Excuses

Here’s the million-pound question: What if consumers could finally flip the script? Imagine being able to access realinsights into how insurance companies behave when it matters most—during claims. Instead of stars and smiley faces, you’d see cold, hard data:

• What percentage of claims they reject and why.
• How long they take to settle claims.
• How often customers need to escalate complaints to ombudsmen.
• Their sneaky tricks, like denying claims for "pre-existing conditions" you didn’t know about.
• Obtain the likelihood of claim being successful? Obtain information prior to contacting them.

Wouldn’t that be refreshing? Suddenly, those polished ads about "peace of mind" would mean something.

Reverse Engineering Insurance Algorithms: The Consumer Fightback

This is where it gets exciting. My next big mission is to reverse engineer these AI systems, exposing the tricks and biases baked into their code. We want to empower consumers to understand and challenge the decisions being made about them. Here’s what that could look like:

1. Claims Transparency Tools: A simple way to see how likely an insurer is to honour your claim.
2. Algorithm Accountability: Breaking down how AI systems determine premiums, claim rejections, and renewal rates.
3. Dodgy Behaviour Dashboards: Imagine a website that scores insurers on shady practices like delay tactics or unfair pricing.
4. Your Claims Success Propensity: Imagine being able to assess your own claim against your own policy documents against the historical data from an insurer.

I don’t just want to shine a light on these systems; I want to give consumers the power to fight back.

Why This Matters

The insurance industry has built a fortress of secrecy, guarded by complex algorithms and corporate jargon. They’ve mastered the art of making us focus on the "nice-to-haves" (slick apps, low initial premiums) while hiding the "need-to-knows" (claim outcomes, dodgy practices).

By reverse engineering their AI, we’re not just exposing these companies; we’re levelling the playing field. It’s time to stop rating insurance companies on their marketing tricks and start holding them accountable for their actions.

The future isn’t about letting businesses understand us better—it’s about us understanding them better. And when that happens, the balance of power will finally shift back to where it belongs: with the consumer.

So, what’s your next move? Keep trusting the reviews, or start demanding the truth?

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