Reimagining Life Insurance with Brain AI Advancements
Reimagining Life Insurance with Brain AI Advancements
The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.
The convergence of rapid advancements in neuroscience and artificial intelligence (AI) is breaking new ground in the realm of life insurance.
These innovative technologies offer opportunities to revolutionize how insurance is developed and provided, paving the way for personalized and preventive care.
At the Online Summit in Sydney, speakers noted the exciting potential of AI and neuroscience to reshape healthcare outcomes and insurance services. Professor Matthew Kiernan, CEO of Neuroscience Research Australia, discussed how AI-supported neurological diagnostics are transforming the field, which could lead to improved treatment and management of neurological disorders.
One compelling example Kiernan gave was a UK study where blood samples from 55,000 participants were analyzed over two decades. Among them, 1,000 developed Alzheimer's disease. By running these samples through AI, researchers identified specific proteins that could serve as a diagnostic test for Alzheimer’s, a development that promises much more accessible and affordable screening.
Current Alzheimer’s diagnostic methods, like amyloid PET scans and lumbar punctures, are costly, ranging from $5,000 to $7,000. The new AI-driven blood test could reduce this to about $100, making early detection more feasible.
Kiernan emphasized the crucial role that superannuation and insurance sectors can play in supporting the initial high costs of such innovations until they become scalable and more affordable. "You’re the brilliant minds who need to devise solutions, as many groundbreaking therapies are initially exorbitant," he stated.
Advancements in AI allow for more meaningful data pattern recognition, improving predictive capabilities. Ajay Agrawal, Professor of Strategic Management at the University of Toronto’s Rotman School of Management, explained that AI, at its core, is about prediction. "It uses current information to generate data we don’t have, and it's getting exponentially better over time," he said.
Agrawal pointed out three essential predictions in insurance:
Marketing to the right customer with the appropriate products.
Predicting the risk and likelihood of claims.
Validating claims to determine legitimacy.
This evolving predictive technology holds the potential to overhaul how the insurance industry operates by reducing uncertainties and improving outcomes. For instance, personalized engagement with members can ensure communication is effective and relevant, enhancing satisfaction and proactive health management.
On the healthcare front, AI can predict patient risks, detect anomalies through imaging, and identify effective treatments. Additionally, it aids in fraud detection and claim validity assessments, acting as an enhanced statistical tool.
Agrawal encouraged insurers to "lean further into" these capabilities, advising to not only understand and underwrite risk but also manage it proactively. He suggested that with AI, insurers could begin knowing more about an individual’s risks and how to mitigate them than the individuals themselves.
He also emphasized that the insurance industry should focus on meaningful engagement rather than merely collecting data. The goal is to use AI’s learning capabilities to drive better engagement and outcomes. "Machine intelligence is unique as it learns from use, unlike any tool we’ve had before," Agrawal noted.
As cited by the original article from Investment Magazine, the potential for AI and neuroscience to drastically reshape life insurance signifies a new era where technology not only predicts and underwrites risk but actively reduces and manages it.
Published:Thursday, 8th Aug 2024 Source: Paige Estritori
Please Note: If this information affects you, seek advice from a licensed professional.
Insuregroup, a specialist insurance brokerage serving Australia's transport and logistics sector, has recently announced a significant milestone: processing over 10,000 insurance policies since its inception, with a 25% increase in policy volume over the past year. This growth underscores the escalating demand for comprehensive truck insurance solutions tailored to the unique needs of Australian freight operators. - read more
The Insurance Council of Australia (ICA) has unveiled a comprehensive report titled 'Motor Insurance Policy Paper - A Roadmap for Reducing Rising Premiums,' addressing the significant 42% increase in comprehensive motor insurance premiums since 2019. This surge has brought the average annual premium to $1,052 in 2024, prompting the need for coordinated action to alleviate the financial burden on consumers. - read more
As the Australian summer school holidays coincide with peak freight activity, insurers and transport specialists are raising concerns about heightened road risks. The surge in freight traffic, coupled with increased holiday travel, amplifies the potential for road incidents, particularly involving heavy vehicles. - read more
AustralianSuper, one of Australia's largest superannuation funds, has announced a significant change to its default income protection insurance. Effective from 28 February 2026, the fund will reduce the default income protection cover to $1,000 per month. This adjustment aims to align insurance coverage with members' actual income levels and prevent over-insurance, which can erode retirement savings. - read more
The Australian Prudential Regulation Authority (APRA) has announced a suspension of the planned changes to individual disability income insurance (IDII) policy contract terms. Originally set to take effect from 1 October 2022, the implementation has been deferred for at least two years, providing insurers and policyholders additional time to adapt to the forthcoming regulations. - read more
Life insurance, a contract between an insurer and a policyholder, is designed to provide financial protection to loved ones in the event of the policyholder's death. For parents, this protection takes on a new level of significance. The birth of a child heralds a profound shift in priorities, with a focus on safeguarding the future of one's family. Hence, understanding life insurance options becomes a crucial aspect of responsible parenting. - read more
The digital age has fundamentally transformed how we approach almost every aspect of our lives, including the way we shop for life insurance in Australia. Gone are the days when one had to schedule meetings with insurance agents or flip through pamphlets to understand life insurance policies. Today, obtaining life insurance quotes online has become the norm, offering a hassle-free and incredibly accessible platform for individuals to safeguard their financial future. - read more
When it comes to life insurance, a pre-existing condition refers to any medical condition or illness that you have been diagnosed with before applying for a life insurance policy. - read more
Life insurance is a crucial consideration for middle-aged to older Australians. It provides financial security for your loved ones in the unfortunate event of your death. Understanding the various options available is vital to making an informed decision. - read more
Life insurance is a fundamental component of a robust financial plan, yet its significance is often underestimated. It serves as a safety net, ensuring that your loved ones are financially secure in the event of your absence. Understanding life insurance is the first step towards safeguarding your family’s future. - read more
Start Here !
Apply now for your free Insurance assessment and price comparisons!
Knowledgebase
Insurance broker: An agent acting on behalf of the insured (not the insurance company) who negotiates the terms and cover provided by the insurer in the insurance policy.
