The Association of British Insurers (ABI) has launched a new guide to help insurance firms use artificial intelligence (AI) responsibly.
The guide, which focuses on the best interests of consumers, sets out how those working in the insurance and long-term savings industry can put into practice the UK government’s five principles of AI: Accountability, Transparency, Fairness, Safety, Contestability & Redress.
It seeks to help firms maximise the significant opportunities and benefits AI can have to insurance and long-term savings consumers – including improved affordability, accessibility, and availability.
At the same time, it also aims to help mitigate against the potential risks of AI – including unfair discrimination, bias and exclusion of consumers.
Charlotte Clark, Director of Regulation, Association of British Insurers, said: “Artificial intelligence presents new opportunities and risks.
“By setting out practical resources, questions our industry needs to consider, and regulatory requirements, we hope this guide will support firms in starting conversations about AI and get a clearer understanding of what the responsible use of AI looks like.”
Developed collaboratively by the ABI’s AI Working Group, which includes experts across actuarial, data science, data protection, legal, regulation and compliance, the guide includes some of the key questions firms should ask themselves to assist in the responsible use of AI.
It also features a set of good practice examples relating to algorithms, an outline of existing regulations that align with the UK’s five principles of AI regulation, and a set of examples of how AI is used in insurance and long-term savings.
Clark added: “We’re grateful to our members for sharing their experiences and expertise, which has been at the heart of the guide throughout its development. Close collaboration between business, government and regulators is key to being able to adapt and respond to this evolving technology and we look forward to continuing to work together as the AI landscape progresses.”
The ABI’s AI guide aims to help set firms on a path to develop a responsible AI strategy, governance and oversight of use; as well as to be inclusive in their use of AI, empowering people in all roles within the industry to ask questions and not to make assumptions.
AMong its goals, the guide seeks to help firms to learn how to use AI in the context of relevant conduct, data, and consumer protection regulations and requirements, and to be in control, so that AI works for consumers and the business, rather than letting the technology drive you.