Home Estate Planning Working group launches code of conduct for insurance market when using AI

Working group launches code of conduct for insurance market when using AI

0 comment

A collaboration between 127 experts, including the former UK COO of Aviva, has resulted in the creation of a code of conduct for the insurance industry for using AI.

This initiative aims to establish and uphold “the highest standards of behaviour and ethical responsibility” when planning, designing, or utilising AI in the management and settlement of insurance claims.

Led by Eddie Longworth, director of JEL Consulting, the steering committee has several members including Hugh Hessing, former UK COO of Aviva, Simon Murray, head of insurance at DWF and Prathiba Krishna, head of AI and ethics, SAS UK and Ireland.

A part of the code involves governance mechanisms to define and manage compliance when designing and implementing claims management systems and processes. This code is to ensure that decisions and actions involving AI in claims are not only recorded and audited, but are also ethically justifiable.

The code also establishes the right of claimants challenging AI-led decisions to seek redress through communication with skilled human input to explain the decision-making process. This prioritises ethical practices and addresses any concerns raised by claimants, ensuring transparency and accountability throughout.

This code of conduct is voluntary and has no legislative, authorised, or regulatory basis. The working group stated it is not intended to duplicate or replace other initiatives that may, in the future come from regulatory bodies such as the Financial Conduct Authority (FCA).

Signatories to the code can be organisations or individuals who will make a pledge to “uphold the highest standards of behaviour and ethical responsibility”.

Speaking on the initiative, Longworth said: “By signing up to the code and committing to its standards, we hope this initiative will strengthen the trust, accountability and reputation of the insurance industry with customers and regulators.”

“This is a significant step forward in ensuring the considerable capability of AI is harnessed for the benefit of everyone involved in the claims settlement process,” he added.

You may also like

Leave a Comment

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?