Insurer Extracontractual Liability for Biased Algorithms and AI in Underwriting and Claims Handling
Recording of a 90-minute CLE video webinar with Q&A
This CLE course will explore the increasing risks to insurance companies and policyholders alike of using insurance technology and software, known generally as "insurtech," to investigate, adjust, and settle claims. The panel will discuss the conflict between insurtech and an insurance company’s duty of utmost good faith in all phases of the insurance relationship, from negotiation to claims processing. The program will review what causes of action policyholders are alleging, the shortcomings of software, how the understanding of the insurance company's management of this technology affects these cases, and the reliability and admissibility of the software in court.
- Automated adjustment software and programs explained
- Increase in the use of AI and its impact on first- and-third party claim analysis
- Contractual and extracontractual claims
- Breach of contract
- Bad faith
- Consumer protection law
The panel will review these and other pivotal issues:
- When and why did insurtech arrive in the insurance industry, and who are the drivers?
- What kind of due diligence should insurance companies undertake before adopting insurtech, and for what claim should it be applied?
- How can software perform in the utmost good faith?
- Is insurtech reliable, and does it produce the same results consistently?
- Where does the data supporting AI come from, and is it market-specific?
John G. Buchanan, III
Covington & Burling
Mr. Buchanan, senior counsel in Covington's Washington office and the firm's first Insurance Practice Group... | Read More
Mr. Buchanan, senior counsel in Covington's Washington office and the firm's first Insurance Practice Group Coordinator, has represented policyholders in insurance coverage advocacy, dispute resolution and counseling for over three decades. His career has ranged from the early DES and asbestos coverage litigation to claims for some of the largest cyber losses in history. Mr. Buchanan has litigated, arbitrated or negotiated a wide variety of complex property and casualty insurance claims, from railroad derailment claims to satellite-in-orbit claims, and from silver-theft claims to cyber claims. Chambers USA ranks him as Band 1 for Insurance Dispute Resolution - Policyholder, both in DC and nationally, and he is listed in Best of the Best USA and numerous other attorney rating guides.Close
Robert M. Horkovich
Mr. Horkovich focuses his practice on the area of insurance recovery. He has obtained over $5 billion in... | Read More
Mr. Horkovich focuses his practice on the area of insurance recovery. He has obtained over $5 billion in settlements and judgments from insurance companies for his clients over the past decade. He is a trial lawyer with substantial experience in trying complex insurance coverage actions on behalf of corporate policyholders and governmental entities.Close