AI is set to transform the marine insurance sector, presenting both significant opportunities and pressing challenges, said speakers at the International Union of Marine Insurance (IUMI) annual conference in Singapore.
Speaking at the Innovation & Technology workshop, Rahul Khanna, chair of IUMI’s Data & Digitalisation forum, emphasised the rapid pace of technological change:
“AI in our sector is moving extremely rapidly. Last year has seen as much meaningful improvement in AI application than we saw in the last five years combined. As an industry, we need to keep pace with this change or we run the risk of being left behind. If we don’t get onboard with this new technology now, it might be too late. In five years’ time, our workspace is going to look very different.”
Within marine insurance, AI-powered innovation is expected to integrate brokers and underwriters more closely, generating synergies previously unimagined. From pricing and claims handling to risk assessment, AI will increasingly shape the industry’s future.
Mr Khanna further said that as marine insurers, they need to keep an open mind and embrace AI into their world. “However, we also need to recognise that we will be responsible for building the AI models and we must do this ethically and conscientiously,” he said
The session underscored that while AI promises to enhance efficiency and create new business opportunities, it also places the onus on marine insurers to adopt ethical frameworks and develop responsible models to harness its full potential.