‘A’ for AI, 'I' for insurance (1/3) - how Aviva is betting on Machine Learning investments to deliver advantage in a tech arms race.

Executive Summary

The global insurance sector has seen an 87% year-on-year increase in artificial intelligence deployments, according to research by AI intelligence and analytics Evident. Around 40% of insurers report tangible business benefits from AI, with 77% of those benefits coming from productivity gains and five percent linked to revenue growth. Over a fifth of deployments were agentic in nature, well-suited to handling unstructured data and complex workflows in claims management. McKinsey suggests generative AI could unlock $50 billion to $70 billion in revenue, particularly in document-heavy processes like policy issuance and claims handling. The main benefits are expected in marketing, sales, customer operations, and software engineering, with future potential in handling renewals for simple risks with limited human intervention.