AXA boosts spending on AI, data analytics in Hong Kong as health revenues power growth in Asian business
- Hong Kong makes an interesting platform for health insurers to put their artificial intelligence, data analytics tools to work, AXA says
- French insurance group derives more than a fifth of revenues in Asia from health business this year
AXA SA is stepping up its investment in artificial intelligence and data analytics in Hong Kong to improve health outcomes and lower medical costs, latching on to the city’s proximity to many technological advancements in mainland China.
The insurer expects to spend HK$220 million on technology, such as AI and big data applications by the end of this year, a 10 per cent increase from 2018, according to Ashok Krishnan, chief data officer and head of customer experience at the local unit of the Paris-based insurance group. Hong Kong makes an interesting platform for health insurers to put their tools to work, he said.
“The uniqueness of Hong Kong is that it is a large market [concentrated in a] small geographic area, which makes it easier to pilot something,” Krishnan said in an interview. High-level of smartphone and social media usage, as well as access to new technologies being developed in China, make Hong Kong a “a very interesting” test-bed for new AI and data analytics tools, he added.
Earlier this month, AXA hosted its first health-related “hackathon” in the city to scour for new ideas and talents to help the firm in its digital and data strategy push to future-proof its business. It underlines AXA’s strategy to move from being a traditional “payer of claims” to a proactive “health partner” to its customers, with the aim of improving their health outcomes and medical bills.
“Traditional insurance is, if something happens to you, we pay for the medical treatment,” Krishnan said. “The new way is, how do we prevent you from falling ill in the first place. If you lead a healthy life, it also benefits us.”