Insurance / Life insurance
Kyobo Life Insurance: Reading and assessing insurance claim documents
- Company
- Kyobo Life Insurance
- Country
- South Korea
- Adoption stage
- In operation
- Source published
- Date basis
- The date the source was published. It can differ from the date adoption started.
- How the source was checked
- Read the full source text
The work problem
An insurance claim goes through several stages, from receiving documents to assessment and payment. Kyobo Life Insurance took the view that the speed of this whole process ties directly to customer trust. A company representative said paying a claim is the most fundamental point of contact that demonstrates trust with the customer.
Technology and data
Kyobo Life Insurance put AI and digital systems into the whole claim payment process. There are three pillars: an AI based automatic assessment model, upgraded optical character recognition (OCR) for claim documents, and a system that transfers money immediately once assessment is complete. The OCR system was designed to recognise 13 types of claim document automatically, a first in the industry, raising intake efficiency. The AI assessment model uses machine learning to judge the difficulty of a claim and whether automatic assessment is possible. The company explained that this judgement raised both processing speed and accuracy.
Results
Kyobo Life Insurance said that, as of the announcement, its average fast payment period in the second half of last year was 0.24 days, the quickest among life insurers. That means the process from claim to payment finishes within about two hours. Against the life insurance industry average of 0.67 days and the non-life average of 0.69 days, it is about three times faster. It said the non-payment rate, the share of claims not paid, was also under 1 percent, the lowest among the major life insurers. The company attributed this result to being early in putting AI and digital systems into the whole payment process.
Limits and open questions
The source does not disclose how claims were handled before adoption, the share covered by automatic assessment, or cases of misrecognition. The performance figures are also the combined result of AI assessment, OCR and immediate transfer, so the contribution of AI alone cannot be separated out.
Sources
- “AI, 디지털 혁신의 결실”…교보생명, 보험금 신속 지급 업계 최고 , 교보생명 뉴스룸news.kyobo.com, Accessed
Compiled from public sources. These are not results from ATF Works customers.