2026-08-03 · Source: Insurance News Australia
Summary in 3 Points • Crawford & Company released a white paper on AI in claims handling • AI is used in claims triage, research, administration, and communications • Local knowledge remains crucial, especially in diverse regions and catastrophes --- Crawford & Company has published a white paper discussing the integration of AI in claims handling processes. The paper highlights that while AI is being utilised in areas such as claims triage, research, administration, and customer communications, it cannot replace the importance of local knowledge and human interaction. This is particularly true in geographically diverse areas and during major catastrophes. The paper argues that a distributed physical claims network should be seen as a strategic asset, not just an operational cost, and that AI should enhance rather than replace human capabilities, allowing professionals to focus on complex decision-making and customer empathy.
For the London insurance market, the integration of AI in claims handling could lead to more efficient processes and potentially lower operational costs. However, maintaining a balance between technology and human expertise may be crucial, especially in handling complex claims or those requiring local insights. Underwriters might need to consider how AI can be incorporated into policy wordings and claims processes without compromising the quality of customer service. The focus on local presence suggests that insurers may need to invest in maintaining or expanding their physical networks, particularly in regions prone to natural disasters.