An industry consortium or other form of coopetition may be the best way for carriers to jump into the fast-moving world of AI, a tech entrepreneur who has held executive roles at major carriers suggested recently.
Michael (Fitz) Fitzgerald, Insurance Industry Advisor for SAS Institute Inc., served as guest editor for this article and others featured in CM's Q1-2024 magazine, "Leading the AI-Powered Insurer."
Executive Summary Henna Karna, a technology entrepreneur who has led digital services, technology and data businesses at Verisk Analytics, AIG and AXA XL, as well as an insurance solutions business at Google Cloud, believes that building basic AI models is not a competitive advantage for any P/C insurance carrier. Karna, who describes her career without reference to those well-known employers but instead by focusing on her missions to solve the complex problems of closing protection gaps and using data to deliver customer-centered products, believes that understanding how to manage and mitigate risks are the skills that set carriers apart from one another. She recommends they collaborate rather than try to compete to develop basic AI tools.
Michael (Fitz) Fitzgerald, Insurance Industry Advisor for SAS Institute Inc., served as guest editor for this article and others featured in CM’s Q1-2024 magazine, “Leading the AI-Powered Insurer.”
During an interview with CM Guest Editor Michael (Fitz) Fitzgerald, Henna Karna suggested that building basic AI models is not a competitive advantage in the property/casualty insurance industry. Instead, understanding the nuances of different types of existing and emerging risks and how to manage them are the skills that set the industry apart—and set carriers apart from one another, she said, recommending that insurers focus their energies on innovations that align with those core skills.