Is your data generative AI ready?
Data strategy and data infrastructure are the essential components needed for financial services and insurance (FSI) companies to leverage the power of analytics and artificial intelligence (including generative AI) to improve business performance and customer experience as well as elevate their innovation capabilities.
While business leaders within the FSI industry are keen to utilise analytics and AI to improve their workstreams and deliver tangible business benefits, a strong foundation with engaged technology and data teams are needed to fully reap the benefits of use cases such as:
Optimising your data strategy and data infrastructure
An organisation's data strategy should be considered as an overall roadmap which guides an organisation's data related decisions and actions. It defines the business goals and challenges that data can help address, the data sources and types that are needed, the data governance and standards that are required, and the data capabilities and technologies that are available or needed.
Data infrastructure is made up of the physical and logical components that enable the organisation to implement its data strategy. These components include hardware, software, networks, platforms, tools and services which collect, store, process, analyse and share data. It also includes the people, processes, policies, and procedures that are involved in managing and using data.
A robust data strategy and data infrastructure can enable generative AI by:
- Providing a large and diverse amount of high-quality data that can be used to train and test generative AI models
- Enabling fast and scalable data ingestion, processing, and analysis that can support the complex and dynamic nature of generative AI applications
- Facilitating data integration and interoperability across different sources, systems, and formats that can enhance the richness and accuracy of generative AI outputs
- Ensuring data security and privacy that can protect the organisation and its customers from potential risks and liabilities associated with generative AI
- Supporting data governance and compliance that can ensure the organisation adheres to relevant regulations and ethical standards when using generative AI
Where does generative AI fit into my FSI organisation's processes and what are the benefits?
Generative AI can help FSI organisations optimise their insights into their vast and diverse data sources such as customer profiles, claims history and risk assessments. These insights can improve decision making regarding pricing, product or service suitability, claims management, and fraud detection. With the FCA mandating that FSI firms must protect customers from harm, which includes selling a product or service to a customer which is not the most suitable for them, understanding customers through their data is essential.
Using generative AI, it is possible to input natural language queries which are converted to SQL (a programming language used for storing and processing information in a database). This means that queries can be made by employees who are not data engineers to empower them in their roles. Check out a demonstration of how this can be used to analyse customer data in FSI organisations here.
FSI employees are at the front line of customer service; therefore, it is essential that they are equipped with the tools they need to provide the ultimate customer experience. Customer and employee experience can be improved through generative AI, for example by comparing a claims summary with the relevant policy document to understand claim validity and inclusions, as well as writing emails or scripts to communicate with customers. This can dramatically reduce manual burden and allow insures to provide personalised and high-quality service to customers. Here is a demonstration of how generative AI can be used in the claims process.
If you would like to learn more about benefits generative AI can bring to your FSI organisation, download our whitepaper below: