Insurers have been urged to fully embrace artificial intelligence (AI) to gain maximum benefit.

Accenture Insurance Lead Australia and New Zealand Ravi Malhotra says much industry AI activity is limited to improving current processes or “seeking low-hanging fruit”.

“There is value in exploring these opportunities,” he said. “However, if we were to set our ambitions a bit higher, there is potentially so much more to uncover.

“Only once we reframe what we are trying to achieve, and rethink what work needs to be done, will AI truly make an enormous difference.

“It’s not just about doing the same things differently.”

AI is an evolving technology that may herald an era of “extraordinary” benefits including faster underwriting, quicker claims settlement and improved customer experience.

But patience is key. Insurers willing to take a long-term approach to AI investment will achieve the most.

“In approaching this fundamental shift in thinking, it’s important to recognise that it won’t be achieved overnight,” Mr Malhotra said.

“It will take some time and must be done thoughtfully and strategically.”