Watch Tom Wilde, CEO at Indico Data, alongside Michelle Gouveia, VP at Sandbox Insurtech Ventures, in season 2 episode 16 of Unstructured Unlocked with Bill Devine, Former Travelers Insurance VP.
Tom Wilde: Hey everybody. Welcome to a new episode of Unstructured Unlocked. On today’s episode, we’re excited to chat with Bill Devine, former Vice President at Travelers and a seasoned insurance leader with extensive experience in underwriting and operational strategy. Bill will walk us through the challenges of traditional underwriting clearance, how AI is revolutionizing the process, and what this means for carriers and policyholders alike. Let’s dive in and explore how cutting-edge technology is rewriting the rules of underwriting one decision at a time.
Jeremy Stinson: Hello everyone, and thank you for joining us for today’s product release webinar introducing the Underwriting Clearance and Triage Solution. My name is Jeremy Stinson. I’m the Vice President of Marketing here at Indico Data, and I’ll be your host for today’s session.
Over the next 15 minutes, we’ll discuss what Indico is calling the Decision Era. This conversation will set the stage for why we launched our Underwriting Clearance and Triage Solution. It also marks Indico’s evolution from focusing solely on unstructured data extraction and ingestion to empowering insurers to make faster, more informed decisions throughout the policy lifecycle.
Let’s start by reflecting on how technology has evolved through distinct eras that have transformed businesses. We began with the Software Revolution, where Marc Andreessen famously said, “Software will eat the world,” digitizing processes everywhere. Then came the Cloud Era, with platforms like AWS and Azure turning data storage into a utility. This was followed by the Data Era, which emphasized data as a critical asset through innovations like data lakes. Now we’re entering the Decision Era, where organizations must act on their accumulated data to unlock new decision-making power with AI.
Tom, how can insurers shift their organizational mindset to prioritize data-informed decision-making and gain a competitive edge?
Tom Wilde: Thanks, Jeremy. Happy to be here. I think the key is that we’ve moved beyond convincing organizations they need a data strategy. Whether you’re an insurance company, a bank, or even a landscaping business, everyone has data and uses it as a competitive advantage.
However, the real question now is, “So what?” Organizations have invested heavily in data collection, cleansing, and strategy, but what ROI has that activity generated? Today, advances in compute, data, and AI have finally reached a point where we can unlock that ROI and realize the value we’ve been chasing.
Jeremy Stinson: That’s a great point. Bill, many people say insurance companies have historically lagged in tech adoption. What advice do you have for carriers to position themselves as leaders in this next era?
Bill Devine: Thanks for including me, Jeremy. I’m excited to contribute to this conversation. While it’s true that insurance companies are often considered laggards, the reasons might not be what people expect. Historically, insurers have been at the forefront of innovations like SaaS and cloud computing. However, this early adoption has left many with legacy technology and cultures that are challenging to modernize.
Another issue is the industry’s tendency to build solutions internally, given its early leadership in tech evolution. For carriers to accelerate today, they must embrace partnerships and bring other innovators to the table instead of building everything in-house.
Jeremy Stinson: That’s a great point. Let’s shift gears a bit. Bill, what are the most significant risks insurers face in decision-making, and how can AI help mitigate them?
Bill Devine: Insurance has always been a data-driven industry, so carriers have amassed enormous amounts of data over time. The challenge lies in making that data actionable and usable. Unstructured data, for example, holds immense value, but most carriers struggle to utilize it effectively. That’s where AI comes in—it helps navigate through this overwhelming amount of data and extracts actionable insights.
Jeremy Stinson: Tom, building on that, how can AI-enhanced decision-making lead to better outcomes for carriers? What benefits are Indico customers seeing today?
Tom Wilde: To succeed, insurers need to excel in two areas. First, they must have clean, reliable data. AI is still very much a “garbage in, garbage out” technology, so data quality is critical. Second, they must leverage unstructured data, like documents, as a first-class asset alongside structured data. With advancements in generative AI, carriers can now extract value from previously untapped data sources.
Bill Devine: I agree, Tom. Historically, unstructured data has been used for evaluating single risks, but the ability to mine it for portfolio-level insights is a game-changer. This longitudinal analysis offers huge opportunities.
Jeremy Stinson: That’s an excellent point, Bill. Let’s discuss how insurers can practically apply AI. Tom, could you share an example of using AI in a real-world carrier setting?
Tom Wilde: Sure. One key example is underwriting submission ingestion, which is dominated by unstructured data like emails and attachments. Using AI, carriers can streamline processes, generate structured data, and enhance compliance with internal and regulatory requirements. This is critical for maintaining production-ready AI deployments.
Jeremy Stinson: Bill, what’s the importance of maintaining human involvement in the AI-driven decision-making process?
Bill Devine: Human expertise is indispensable, especially for complex or unique risks. AI can accelerate and enhance decision-making, but the final call often requires an underwriter’s judgment. This collaboration ensures decisions are both efficient and accurate.
Tom Wilde: Exactly. Automation is about enabling human experts, not replacing them. Think of AI as a co-pilot or bionic arm that amplifies the decision-making process while maintaining transparency and explainability.
Jeremy Stinson: Let’s wrap up by discussing the evolution of AI. Tom, how should carriers think about the different waves of AI technology, from machine learning to generative AI and beyond?
Tom Wilde: Each wave builds upon the last, much like programming languages with distinct strengths. For example, machine learning offers deterministic outcomes, making it ideal for certain use cases. Generative AI excels at tasks like summarization but requires guardrails to ensure accuracy. The key is to treat these tools as complementary and apply them strategically.
Jeremy Stinson: Bill, what’s your advice for carriers evaluating AI technologies for their specific needs?
Bill Devine: Carriers should focus on being informed consumers rather than trying to develop AI solutions themselves. Partnering with tech providers who understand the insurance space allows carriers to leverage cutting-edge tools without reinventing the wheel. It’s about advancing your business, not becoming a tech company.
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