Risk technology is making our lives safer – but better education is vital

“We have so much data thanks to AI,” said Ben Fidlow, global head of core analytics at Willis Towers Watson. “Looking at physical assets, you used to have an address and a valuation that might be inaccurate. Now you have 40 data points…and the ability to supercharge the coverage data.”

The growth in insuretech companies is supporting the insurance industry to maximise AI’s potential, added Melissa Collett, CEO of Insurtech, a UK trade association. Spatial technology, telematics, the Internet of Things and blockchain are working with AI to make insurance “faster, easier and cheaper for customers – and to protect risks. It makes all of our lives safer.”

However, AI does not come without risks and its potential can only be reached with the right education and skillset.

According to Jim Wetekamp, CEO of Riskonnect, businesses need to bring technology decisions into the design phase of a project. Today’s technology choices have a fundamental impact on outcomes – they can be the difference between success and failure.

As a result, the choice of technology must be understood and scrutinised early on in the process. “The most cost-efficient moment to manage a risk is before it’s happened and far after is the most expensive point to deal with it,” he noted.

The panel agreed that education and re-skilling will be vital if the risk and insurance professions are to maximise the opportunities afforded by AI. Risk managers will need more data expertise, the ability to ask the right questions of AI and the knowledge to critically assess the output. “People are hoping AI agents will do everything for us, but there needs to be a strategy,” said Ben Fidlow.

The insurtech sector can help with the skills gap, added Melissa Collett. She believes the sector is younger, more diverse and more trained in data analytics than traditional sectors, and can work in partnership with the insurance industry.

Risk and insurance takeaways:

• AI and technology are integral to insurance innovation;

• Businesses should bring technology decisions into the design phase of a project;

• Risk managers need more data expertise and the ability to ask the right questions of AI and scrutinise the output.

The Panel: Technology – A Moment in Time

Moderator: Clive Myrie, BBC

Speakers: Melissa Collett, CEO, Insurtech; Ben Fidlow, Global Head of Core Analytics, WTW;

Cécile Fresneau, Managing Director, Insurance, QBE; Johnty Mongan, Global Head of Cyber Risk Management, Gallagher; Jim Wetekamp, CEO, Riskonnect.