WEST PALM BEACH, Fla. — Florida's insurance market is seeing an influx of new companies, some of which are leaning heavily on artificial intelligence and new technology to handle policies and claims.
One newly approved company, Wingsail, is part of Hippo Holdings, a company embracing AI-driven processes in the insurance industry.
WATCH BELOW: AI-driven insurance company enters Florida's market
Mark Friedlander of the Insurance Information Institute spoke about the rise of "insure techs" — insurance companies that are integrating AI into their operations.
"Tech-driven technology has been used in insurance for many years," Friedlander said.
Friedlander said AI is not used to deny claims, and that human oversight remains a key part of the process.
"There are humans still involved, that's the point, it's not all AI-driven. Yes, AI is a big part of the process, but humans are still involved in making the final determination of claims. What AI does in the claims process is provide the data that makes the claims process much smoother," Friedlander said.
During the past legislative session, Florida lawmakers examined how AI is becoming part of the insurance industry and pressed executives on its use.
Experts say the use of AI and new technology in insurance will only continue to increase.
In addition to Wingsail, Florida Insurance Commissioner Mike Yaworsky on Wednesday also announced that Builder Reciprocal Insurance Exchange and Frontline Insurance Reciprocal Exchange entered the state's insurance market.
This now makes 20 insurers to enter the market since Florida's recent legislative reforms.
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