Unmasking the Future of AI in Insurance: In2Risk Explores Where Quantum Computing and Mind Reading Come In
Whenever there is a significant advance in artificial intelligence technology, it tends to make us consider new possibilities and opportunities.
But along with the growth and potential benefits AI brings to the insurance industry, the potential downside of the rapid development must be considered.
New technologies introduce new risks to be mitigated and managed. And while the insurance industry is poised to address these emerging risks and exposures, the fast pace of development often creates unexpected challenges.
There is no doubt that advances in AI, quantum computing, and mind reading will impact the risk and insurance industry, but the lasting effects of these new technologies remain unknown.
“We have become more aware of cyberattacks and, in cyber insurance, see their sometimes-devastating costs,” commented Monique Ferraro, cyber counsel at HSB.
“The future presents unparalleled challenges.”
Ferraro will share her thoughts this fall at In2Risk in Washington, D.C., along with an all-female panel of attorneys to share their diverse perspectives of these advanced technologies, using their own experiences of currently handling cybersecurity and privacy cases.
Risks and Rewards of Generative AI, Quantum Computing, and Mind Reading
We no longer ask the question of whether AI, automation and other technological advancements will impact the insurance industry. Now it’s a matter of scale and impact of the technologies — and how to mitigate the new risks associated with them.
The global economy is growing thanks to AI, with a recent report showing a projected 7%, or almost $7 trillion, increase in the global GDP in the next ten years based on new applications of generative AI tools in business. The same report also predicted a 1.5% lift in productivity growth over the ten-year period.
But as ChatGPT and other generative AI programs gain market share and media attention at a breakneck pace, questions arise around privacy, cybersecurity, bias, deceptive practices, consumer protection and other issues.
And right alongside the rise of ChaptGPT has sprung its counterpart, WormGPT, a dark web tool purporting to have no ethical boundaries.
WormGPT can be used by hackers to quickly and effortlessly draft social engineering emails that would challenge even the tech-savviest humans, as one example of its possible uses.
“It’s possible that we could see technology that translates our thoughts into readable text or allows our memories to be accessed by computers,” Ferraro said.
“These capabilities will raise legal issues similar to those we grapple with today, including data ownership, privacy protection, and data security.”
She continued, “At the same time, AI and quantum computing are developing rapidly. We have already experienced AI being used for nefarious purposes, and we will inevitably see the convergence of AI and quantum computing. In terms of the future of cyber and privacy, a key question remains: who will take the lead in that convergence — the forces for good or threat actors?”
The risks of new technologies may outweigh the rewards, but right now we don’t have a clear view of the emerging exposures with this new computing power.
The world is trying to get ahead of these risks with new legislation and regulations aimed at controlling the unleashed power of AI. The European Union recently updated its AI Act with stricter controls regulating the use of generative AI models by EU companies and other venues may follow its example.
Violet Sullivan, cybersecurity and privacy attorney, and another panelist this fall, elaborated on the new risks to the insurance industry.
“We see AI being adapted to the insurance process, but rarely do we see the insurance process taking into account the way risk is ultimately changing,” Sullivan said.
“This isn’t merely about accelerating the claims process; it’s about fundamentally reshaping how we view cyber insurance as a valuable risk transfer mechanism.”
Reshaping Views on Cybersecurity, Data, and Privacy
Building on the theme of changing risks and expanding exposures, the session will examine the way these shifts reshape not only risk but also our views of privacy and cybersecurity.
“In our ever-evolving digital landscape, the nexus of AI and Quantum computing is forging unprecedented threats that are reshaping the way we know cyber and privacy today,” Sullivan explained.
“Quantum computing not only magnifies current threats but, in tandem with AI, leads to an exponential increase in the frequency and severity of cyberattacks and breaches.
“As we dive into these complex issues in our session, it will become clear that we are navigating uncharted waters without precedent or an agreed-upon framework. The imperative is to collectively understand, adapt, and fortify our defenses against these potential threats to ensure the security and integrity of our digital future,” she said.
Jordan Fischer, partner at Constangy, a third panelist slated for the session at In2Risk, has focused her thoughts on the risks AI and quantum bring to data.
“So often, cyber and privacy risks are tied so closely to data: personal data, business sensitive data, any data.
“Artificial intelligence and quantum really present a new frontier when it comes to data because of the ability to manipulate data in new and unique ways, and just the brute force capability of reading data itself.”
She continued, “Both of these components, among others, present unique risks to businesses, both from a security and privacy perspective. While these technologies are really still in their infancy, it is important that practitioners from all perspectives [law, tech, insurance, business, etc.] think ahead to be prepared for what AI and quantum could bring us.”
Industry Professionals Learn More at In2Risk in Washington, D.C.
Learn more about the implications of AI, quantum computing, and mind reading at In2Risk this fall.
Open to all industry professionals, In2Risk will enable attendees to enjoy two and a half days of educational sessions and networking. Join Ferraro, Sullivan, Fischer and fourth panelist Karen Randall, partner at Connell Foley LLP, for this exciting topic on AI and cyber.
Interested attendees can also register for an optional pre-conference workshop held at the Vehicle Research Center in central Virginia.
This all-day event will include a tour, presentations, and a live crash test demonstration at the IIHS-HLDI state-of-the-art crash test facility. A limited number of seats are available for this workshop.
Register today to join your colleagues at In2Risk October 5-7 in Washington, D.C. &