We’ve been telling you about the theats posed to cyber insurers by AI — now the technology is coming to help, in the form of a vertical AI from EXL (NASDAQ: EXLS), the data analytics company. The company’s new “EXL Insurance LLM” is a specialized large language model (LLM) tailored for the insurance industry and developed using NVIDIA AI Enterprise. See the press release here.
To be sure, AI is already being harnessed in multiple parts of the cyber insurance business ecosystem (see this report on AI and cyber claims, plus this one on AI predicting cyber attacks for insurers and a report on Cowbell Co-Pilot AI for cyber underwriting.). Although EXL does not specifically highlight cyber as a sector for its new technology, we imagine it — or competitors like it — will gain users among cyber insurers.
First, as the release points out, “vertical” (or industry/use/domain-specific LLMs) are the future of AI, automating tasks previously done by humans and creating numerous efficiencies. One driver for insurers is compliance, starting but not ending with the requirement to safeguard customer and claims information. Major AI models have been hit with questions about how they share information as they train and ingest data — no insurer wants a customer’s personal information, or the firm’s proprietary claims data — showing up in an AI response to a random third party.
“The EXL Insurance LLM offers 30% greater accuracy and 30% lower costs than generic LLMs while ensuring full regulatory compliance,” says Anand “Andy” Logani, EXL’s executive vice president and chief digital officer.
New tech-driven cyber insurance pure-plays are already harnessing AI in some similar ways, and dealing with compliance issues, but EXL could end up offering competition for some of these specialists.
BTW, check out this upcoming event on AI and insurance claims.