Amidst the rapid boom of Artificial Intelligence (AI), its increasing integration into societal structures and business models prompts crucial conversations on technology risks. MAPFRE, a multinational insurance company, has embarked on comprehensive research to understand these risks and to identify measures that could assess, monitor, and mitigate these risks, thereby enabling the deployment of Responsible AI (RAI).
The majority of global businesses utilise AI in various facets of their daily activities. From enhancing business processes to creating innovative customer solutions, the technology has paved the way for significant improvements in innovation, productivity, and profitability. However, its implementation isn’t risk-free. Issues related to biases, ethics, performance, the reliability of information, and intellectual property necessitate proper management for the safe and sustainable application of AI.
The surge in the availability and adoption of generative AI tools by all types of profiles has added complexity to the risks posed by AI. As companies continue to escalate their AI use cases and regulations become clearer, the awareness of proper AI risk management will increase, subsequently boosting demand for services that assist in managing these risks. MAPFRE’s research, geared towards understanding these risks and deploying AI responsibly, is a step in the right direction.
MAPFRE’s study identifies three primary types of risks posed by AI: operational risk, ethical risk, and regulatory risk. Controlling these areas and implementing mitigation measures is vital, especially as generative AI, anticipated to be worth an estimated $121m by 2027, experiences unprecedented adoption and intensifies concerns about its ethical and legal impact.
The concept of Responsible AI is centred around ensuring the proper use of AI and minimising these risks. It involves managing the life cycle of AI models by adhering to principles, processes, and policies that aim to deliver a positive impact and safeguard individuals and society.
Bárbara Fernández, deputy director of MAPFRE Open Innovation and head of insur_space, said, “Never have we seen a technology be adopted so quickly as we are seeing with generative AI. Given the increasing concerns shared by policymakers and businesses and the fact that the risks are still poorly understood, the concept of responsible AI must be brought to the fore to ensure the technology is taken seriously and to ensure collaboration to establish common ways of working with it, which help protect people and communities, while encouraging positive innovation.”
As of now, insurance services that cover the risks associated with the use of AI are practically non-existent. However, as regulations become more defined and AI continues to permeate various sectors, the role of insurance companies like MAPFRE becomes pivotal in mitigating AI risks and in promoting the responsible and sustainable deployment of AI.
Copyright © 2023 FinTech Global