If there was one phrase that dominated the past year, both professionally and socially, it was “generative AI.” According to KMPG’s Generative AI Survey, the results reveal that 77% of insurance executives believe that AI will have a more significant societal impact in the next three to five years than any other technology. What’s more, 84% of companies, including insurers, say investing in this new AI will give them a competitive advantage.

On the claims management front, AI has had an almost unprecedented impact – speeding up the claims process at breakneck speeds. Speaking to IB, Michael Combs (pictured), chairman and CEO of CorVel, said this increased efficiency has enabled investigators to gather more critical information about claims and helped injured workers return to their jobs more quickly.

“With the implementation of technology, decision-making processes have evolved,” Combs said. “Generative AI has helped reduce the delays that used to take days, weeks, or months, breaking down the feedback loop and allowing our partners to look at historical data to understand what happened and, more importantly, what we can do about it.”

“The large number causes difficulties”

CorVel’s management dashboards provide real-time insights. This speed is essential for stakeholders, enabling them to identify areas of opportunity and make timely decisions.

“Our dashboards are real-time; you don’t have to wait until the end of the month to collect data. Most of the information comes in real-time, which again compresses the time loop for feedback and allows for immediate decision-making,” he said.

However, Combs acknowledged the challenges posed by managed care integration and the complexity faced by customers working with multiple vendors.

“One recurring message is that while not every integration poses a particular challenge, the sheer number of them does cause difficulties,” he said.

To ease this burden, the company has proposed a centralized model, with CorVel acting as the central point of integration. This approach simplifies the integration process for customers, allowing them to focus on improving their software.

“There are appropriate considerations when using this technology.”

Looking ahead, Combs is optimistic about the role that technological innovations will play in the insurance industry. Corvel’s strategy involves building a broad technology platform to leverage advances from a variety of service providers. This foundation is designed to be flexible, responsive to technological advances and business needs.

“I expect we’ll see an increase in the pace of change,” Combs said. “We want an organization that can leverage information and take advantage of technological advances as they become available.”

Again, AI is expected to play a significant role in this development, with Combs believing we are only beginning to understand its potential. However, he stressed the importance of deliberate and transparent use of the technology.

“There are appropriate considerations when using this technology — first and foremost data protection and making sure that customer data is isolated and that we are intentional in our use of it,” Combs said.

The future of generative AI at CorVel goes beyond current applications. Combs envisions expanded use of AI across different processes. The goal is to use the technology to augment the work of CorVel team members, not replace them. By minimizing the time employees spend on repetitive tasks and maximizing interactions with injured workers, CorVel aims to achieve optimal outcomes.

“I expect there to be an expanded use in the business in general, and that’s certainly in line with the way we look at it at Corville,” he said. “(It’s about looking at) how we can use technology to elevate the work that our team members do.”