Farm insurance agency ARGIS has improved its new business quote turnaround times by 60-65%, thanks to the introduction of new automated bot and artificial intelligence (AI) technology.
Peter Morsley, farm underwriting manager at ARGIS, says since the technology was introduced last year, around 50% of all of the new business quotes it receives are being processed by the system.
How does the technology work?
Mr Morsley explains that the new insuretech ARGIS has adopted comprises an AI component, which identifies key underwriting data on a quote slip and then extracts it and feeds it to an automated bot, which enters the data into the ARGIS underwriting system.
He says so far the system is running at a success rate of around 90% accuracy on farm insurance quotes that are submitted via the online quote form on the ARGIS website. No logins are required to access the system, which is available to all brokers.
Once a quote has been submitted and processed by the technology, both the ARGIS underwriting team and the broker receive an email with the quote details, and the risk is then assessed and underwritten manually by an ARGIS underwriter.
What are the key benefits?
Mr Morsley says the decision to introduce insuretech followed significant growth in demand for farm insurance quotes which, while positive for the business, increased the turnaround time to get quotes out to brokers.
“We wanted to be able to continue to provide brokers with the service levels they’d come to expect, despite the uptick in our business.”
He says that by submitting quotes using the ARGIS online quote form, brokers get priority processing.
“Our turnaround times on new business quotes are generally between 24 and 48 hours, however, we prioritise the requests that come via the online quote form on our website and we’re generally under 24 hours for those, and usually faster. So the key advantage for brokers is the improved turnaround times, and the removal of data entry allows us to focus on underwriting the risk and engage with our brokers when required,” Mr Morsley adds.
However, he says using the online system is not mandatory when doing business with ARGIS.
“We’d love more brokers to use it but we’re certainly not pushing them onto the system. But we do make them aware that if they send us something that needs manual data processing it’s going to affect how quickly they get the quote back.”
Mr Morsley says the AI system is also being trained to identify and extract key information from brokers own quote slips, in the event that a broker does not use the online quote form.
“We’re having varying success with that application as quote slips vary greatly between brokers but as larger volumes of them are run through the system the identification of key information will improve as the AI system learns.
ARGIS has also recently introduced another automated bot for renewals, which gathers all key underwriting information required from multiple sources, and sends it to the underwriter to assess.
“The bot does all of the manual work that we’ve previously had to do before we get to the point of actually underwriting, giving us more time to engage with brokers,” Said Mr Morsley.
He says that in the future, ARGIS may look to employ a similar automated bot for endorsements, which would lead to reduced turnaround times for mid-term adjustments.
Whether this foray into insuretech will eventually lead to a fully automated underwriting process, Mr Morsley said that would depend on the needs of brokers.
“At the moment there’s still an appetite for personal contact with underwriters as well as end-to-end automated systems. But if you’re running a semi-manual system, you need to be as quick as you can. Brokers aren’t going to wait two to four days for a quote request if they can go to another underwriting agency or insurer and get an online quote within an hour, so turnaround times continue to be important part of our service model.”
SGUAS Pty Ltd t/as ARGIS Insurance acts for the insurer, HDI Global Specialty SE – Australian Branch. Consider the Product Disclosure Statement, available at www.argis.com.au before deciding if it is right for you.