Insurtech UK, the trade association for the UK’s insurtech sector, has expressed its support for the government’s new advisory service aimed at providing tailored support to businesses. The pilot scheme, set to launch next year, will see multiple regulators develop a multi-agency advice service to help businesses meet requirements in various sectors while promoting innovation, including through the use of artificial intelligence (AI). Insurtech UK’s chief executive, Melissa Collett, stated that the pilot scheme would enable insurtechs to receive more tailored support, allowing for a faster journey towards unlocking the growth potential of the sector.
The insurance industry has shown a greater willingness to embrace AI and chatbots compared to other sectors, according to Tim Hood, vice president of EMEA and APAC at Hyland. This sentiment is reflected in a survey conducted by technology solutions provider FIS, which found that over half of UK insurance executives are investing in AI and machine learning. This figure surpasses the investment rate in the US, highlighting the UK’s commitment to fostering technological innovation in the insurance industry.
The UK government hopes that its new advisory service will enable businesses to bring their innovative solutions to market in a responsible and efficient manner, which will ultimately contribute to the growth of the UK economy. Additionally, the scheme will be supported by over £2 million in government funding. Technology secretary Michelle Donelan emphasized the importance of regulation keeping pace with the rapid evolution of digital technology and AI while ensuring that innovation is not stifled. The goal of the new service is to assist businesses in navigating the compliance process, thereby supporting safe and responsible innovation.
Insurtech UK’s Melissa Collett stressed the need for regulatory agencies to collaborate in order to prevent undue delays or unnecessary barriers for insurtech businesses working with AI. She emphasized the importance of enabling these businesses to bring their responsible innovations to the market without hindrance.
With the launch of the government’s new advisory service, the UK’s insurtech sector can look forward to receiving more tailored support, allowing for a faster path to unlocking its growth potential. By embracing AI and machine learning, the insurance industry is paving the way for innovative solutions that can enhance everyday lives. The government’s commitment to supporting businesses, regardless of their size, by helping them navigate regulations around emerging technologies is a testament to the UK’s dedication to fostering innovation while prioritizing safety. By working together, regulatory agencies and insurtech businesses can ensure a smooth and responsible integration of AI into the industry.
