Impact Of AI On Financial Institutions

With the global rise of AI, its influence has extended into the financial sector. AI systems are now being used by financial institutions for a variety of tasks, such as processing datasets, launching targeted marketing campaigns, offering enhanced usage-based products, detecting fraud, creditworthiness assessments or chatbots.

A 2023 survey by the European Central Bank (ECB) revealed that 60% of the 105 major European banks are already utilising AI, with additional applications under development. Similarly, the adoption of AI is gaining momentum in the insurance sector. In the United States, a 2023 survey reported that 88% of car insurance companies and 58% of life insurance companies are either using or planning to implement AI technologies. The European Insurance and Occupational Pensions Authority (EIOPA) launched a review in 2018, which revealed that 31% of the European insurance firms included in the report were using AI and 24% were using it at a "proof