Natural catastrophe losses rose to $74.4 billion in 2020, up 88 percent from $39.6 billion in 2019, and this is only in the United States. The country recorded its historic high in 2017, of $133 billion. [Source – Facts + Statistics: U.S. catastrophes | III] Globally, natural disasters are the cause of death to an average of 60,000 people every year. [Source – Natural Disasters – Our World in Data]. The claims process for such cases poses complex challenges for insurers at every step along the way, especially in cases where physical inspection and analysis are close to impossible.
AI as a key tool for the insurance industry in times of natural catastrophes
Image and video analytics [IVA] for insurance is the paradigm shift waiting to take the industry by a storm. End-to-end insurance automation will soon be a dream come true with AI models becoming more effective in analyzing and processing insurance claims, especially in the case of natural catastrophes. The power of visual data training combined with innovative technology like drones will fasten inspection, underwriting, and claims. It will also help in risk prediction and preparedness.
To understand Fractal’s flagship IVA platform and how it helps insurers make #betterdecisions tune into this podcast conversation with Sankar Narayanan, Chief Practice Officer at Fractal.