The Federal Insurance Office (FIO) at the U.S. Department of the Treasury hosted a roundtable discussion today with representatives from the insurance industry, consumer groups, state insurance regulators, academics, and other stakeholders to discuss artificial intelligence (AI) in the insurance sector.
The roundtable addressed the growing use of AI by insurers and its potential for innovation and modernization in various areas such as product design, distribution, delivery, and cost. AI applications in claims processing, underwriting, marketing, fraud detection, and rating were also discussed. The conversation included potential risks and challenges related to fairness and privacy.
Senior Treasury Department officials led discussions on the benefits and challenges associated with AI usage by insurers. They also covered potential consumer protections to prevent discrimination, the current state regulatory framework, and best practices for the sector.
This roundtable builds on Treasury’s June 2024 request for information regarding AI’s uses, opportunities, and risks in financial services. These initiatives aim to enhance understanding of AI within financial services, particularly in the insurance sector.
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