The Agent and the Machine: How Artificial Intelligence, Big Data and Machine Learning is Changing the Role of the Insurance Agent
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McKinsey & Company forecasted in 2013 that “where agents formerly acted as the front line in risk selection and pricing, breakthroughs in predictive algorithms are rendering this job redundant.” This prediction was met with scoffing and criticism from the insurance community, but the future has arrived in the insurance industry, and we can already see these changes taking place in certain market segments and spreading quickly to others.
As an agency owner and producer, Frank Pennachio has over 30 years of expertise in the insurance sector. He sold his agency and co-founded Oceanus Partners with Susan Toussaint in 2009. He now works full-time as a trainer and consultant for independent insurance agents, insurance carriers, agent associations, and technology firms that use “agent as customer.” Frank is well recognized as an industry thought leader, and his essays have appeared in national and regional trade magazines.
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