Motor Insurance (CH.9) RISK 112

What is the primary role of artificial intelligence (AI) in motor insurance?

• To increase premiums

• To improve risk assessment and claims processing

• To eliminate all types of coverage

• To replace human drivers entirely

What does telematics technology primarily track in motor insurance?

• Vehicle color and design

• Driving behavior, such as speed and braking

• Insurance company profits

• Fuel consumption only

Which AI tool is used to automate customer communication in motor insurance?

• Optical Character Recognition (OCR)

• AI-driven chatbots

• Manual claim processors

• Natural Language Processing (NLP)

How does AI simplify the underwriting process in motor insurance?

• By increasing manual tasks

• By automating data analysis

• By ignoring customer data

• By reducing policy options

What is the benefit of using telematics devices for insurers?

• They reduce vehicle speed limits

• They enable personalized premiums based on driving behavior

• They eliminate the need for insurance policies

• They increase fraud detection manually

What is Optical Character Recognition (OCR) primarily used for in motor insurance?

• Tracking driver behavior

• Converting images into editable text

• Increasing premiums automatically

• Eliminating fraud entirely

Which technology allows computers to understand human language in motor insurance applications?

• Machine Learning (ML)

• Natural Language Processing (NLP)

• Telematics

• OCR

What is the main advantage of AI-driven chatbots in motor insurance sales?

• They increase operational costs

• They provide instant responses to customer queries

• They eliminate all customer interactions

• They ignore customer preferences

What is the expected impact of autonomous vehicles on theft insurance?

• Increased demand for theft insurance

• Decreased demand or potential disappearance of theft insurance

• No impact on theft insurance

• Higher premiums for theft insurance

What is the role of machine learning (ML) in fraud detection for motor insurance?

• To manually verify all claims

• To use predictive models and algorithms for detecting fraudulent claims

• To eliminate all claims processing

• To increase the time required for verification