Six Things 11.19.24
Insurance Thought Leadership
Transforming the Insurance Industry - Welcome to the Conversation
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Beware the Algorithm!
Paul Carroll, Editor-in-Chief of ITL
When I write the Great American Novel about today's political dysfunction, I'm going to call it "They." Because some mysterious, evil "they" sure are causing lots of problems — pick just about any complaint about anything you don't like in the U.S. these days, and "they" are causing the problem. "They" will make a great villain for my book.
When I write the sequel, about the insurance industry, I'll call it "The Algorithm." Because, to look at how consumer advocates are using the term to villainize any decision they don't like, we may have another "they" on our hands.
In the meantime, I suggest that, even amid all the excitement about generative AI, we talk far less about the great algorithms we're creating and put a human face on everything we do.
This Week's Thought Leadership Content:
Bancassurance Visionary & Leader | 15+ Yrs Exp in Shaping Channel Sales, Business Dev & Client Relationships in Banking & Insurance Sector
1w"Thoughts on 'Beware the Algorithm' As a seasoned bank assurance professional with 17+ years of experience, I couldn't agree more with the concerns raised in this article. The increasing reliance on algorithms in insurance decision-making processes is indeed a double-edged sword. While algorithms can bring efficiency and speed, they can also perpetuate biases, lack transparency, and overlook critical human factors. In bank assurance, where relationships and trust are paramount, it's essential to strike a balance between technology and human expertise. To mitigate the risks associated with algorithms, I recommend: 1. Implementing robust governance and auditing processes. 2. Ensuring transparency in algorithmic decision-making. 3. Combining data-driven insights with human judgment. 4. Fostering collaboration between technologists, insurers, and regulators. Ultimately, it's crucial to recognize that algorithms are tools, not replacements for human expertise and judgment. By embracing a balanced approach, we can harness the benefits of technology while ensuring that bank assurance remains a people-centric industry. #BankAssurance #Insurance #Algorithms #HumanExpertise #Governance #Transparency"