Poland’s PZU Uses Tractable AI to Analyze Auto Damage

The technology has handled over 150,000 claims, making claims handling significantly more effective, while also shortening the waiting time for vehicle repair.

(Image source: PZU homepage.)

PZU (Warsaw), the largest financial institution in Central and Eastern Europe serving over 22 million policyholders in five countries, has selected Tractable’s (London) AI to enhance how it reviews its car insurance claims across Poland, it announces today.

Marcin Kurczab, Director, Innovation Lab, PZU.

PZU handles nearly 500,000 auto damage claims per year. Before implementing AI, the insurer was performing a detailed review of about 20 percent of its motor claims that are handled by body shops (the remaining body shop cases were approved with simplified control). Tractable says its AI solutions allow PZU to check in detail nearly all of the body shop claims it processes, in real time. The solutions’ algorithms can detect any anomalies that need to be checked by PZU’s experts or confirm that all repairs are carried out in compliance with procedures and standards defined by PZU, the vendor reports. Thanks to this advance, Tractable asserts, PZU’s experts are able to focus on those cases that really need their attention.

PZU began working with Tractable since 2018 and is the first insurer in Poland to use AI to process its motor insurance claims. Tractable reports that, so far, the technology has handled over 150,000 claims, or one-third of PZU’s yearly auto claims volume, worth PLN 1.3 billion ($347 million). According to PZU, the solution has made claims handling significantly more effective, while also shortening the waiting time for vehicle repair.

Now, the AI solutions – provided by the tech company Tractable – allow PZU to check in detail nearly all of the body shop claims it processes, in real time. The algorithms can detect any anomalies that need to be checked by PZU’s experts or confirm that all repairs are carried out in compliance with procedures and standards defined by PZU. Thanks to this advance, PZU’s experts are able to focus on those cases that really need their attention.

PZU has worked with Tractable since 2018 and is the first insurer in Poland to use AI to process its motor insurance claims. So far, the technology has handled over 150,000 claims, or 1/3 of PZU’s yearly auto claims volume, worth PLN 1.3bn (£260m). According to PZU, the applied solution has made claims handling significantly more effective, while also shortening the waiting time for vehicle repair.

“At PZU, we strongly believe in cooperation with top InsurTech startups to transform our business,” comments Marcin Kurczab, Director, Innovation Lab, PZU. “I am pleased that together with Tractable, we have implemented innovative computer vision technology. Now, we are able to better control our cooperation with body shops and resolve any anomalies in a much more efficient way than ever before. We are pleased not only with the success of the project, but also with the fact that, as the first insurer in Poland, we have implemented this unique technology on such a scale in cooperation with a leading U.K. tech company.”

Founded in 1803, PZU is the oldest and largest insurer in Poland, with record-breaking profit and sales in 2019. Net profit totaled PLN 3,295m (over $878 million), sales totaled PLN 24.2 billion ($6.6 billion), and ROE was 21.2 per cent, nearly double the European average among insurance companies.

Adrien Cohen, Co-Founder and President, Tractable.

Large-Scale Deployment

“It’s been incredible to see how PZU, one of the most respected companies in Poland, has deployed our cutting-edge solution on a large scale,” comments Adrien Cohen, President and co-founder, Tractable. “This proves PZU’s dedication to innovation and placing it amongst the most advanced insurers in the world. Our solution gives PZU control over 100 percent of its repairs and claims, all in real time, thanks to the speed and reach of AI.”

Tractable describes its AI as using machine learning algorithms and trained on photos and human repair decisions across millions of historical accidents. The technology can be applied globally to any passenger vehicle. The AI enables insurers to assess car damage, shares recommended repair operations, and guides the claims management process to ensure these are processed and settled as quickly as possible. The system continually improves as more and more insurers and repairers benefit from its use.

Tractable AI has processed over $1 billion in auto claims for some of the world’s largest insurers, including Ageas UK, Covéa, the largest auto insurer in the French market, and Tokio Marine, the largest auto insurer in Japan.

Admiral Seguros Deploys Tractable’s AI Solution to Assess Vehicle Damage

Tokio Marine Transforms Customer Claims Journey with Tractable AI

Anthony R. O’Donnell // Anthony O'Donnell is Executive Editor of Insurance Innovation Reporter. For nearly two decades, he has been an observer and commentator on the use of information technology in the insurance industry, following industry trends and writing about the use of IT across all sectors of the insurance industry. He can be reached at [email protected] or (503) 936-2803.

Leave a Comment

(required)