ILC ARTICLE

Is AI smart enough to handle subsidence claims?

28th February 2023

While AI is not ready to take over subsidence claims, it is definitely ready to play a part.

That is the verdict of digital subsidence claims expert 360Globalnet, which believes AI used in conjunction with experienced claims handlers can lead to significant efficiency gains.

To gauge the progress of AI, 360Globalnet asked text-generating AI bot ChatGPT to explain the steps in handing an insurance claim for damage to buildings in England caused by subsidence, and received the following answer:

Step 1: Contact your insurance company as soon as possible to report the damage and start the claims process.

Step 2: Provide your insurance company with documentation, such as photographs, of the damage caused by subsidence.

Step 3: The insurance company will send out a loss adjuster to assess the damage and determine the cause of the subsidence.

Step 4: If the subsidence is found to be covered under your policy, the loss adjuster will estimate the cost of repairs.

Step 5: Once the cost of repairs has been agreed upon, the insurance company will pay out the claim to the policy holder, which will typically be used to pay for the repairs to the building.

Step 6: If necessary, the policy holder may need to engage the services of a building contractor to carry out the repairs.

Step 7: After the repairs have been completed, the policy holder should provide the insurance company with documentation, such as receipts, of the repairs carried out.

Step 8: The insurance company will then check the repairs have been completed to their satisfaction and will release the final payment.

While there is no reference to the insurer instructing repairs or the consideration of mitigation, the response – which was produced in just 15 seconds – proves that AI is advancing fast and in the right context and developed alongside the right tech partner, can already help insurers streamline the subsidence claims service.