It’s the top conversation in nearly every industry: artificial intelligence. In the workers’ compensation world, AI technology is already changing and expediting long-standing processes that plague our field. In 2023, AI largely improved the workers’ compensation claims process by automating processes and freeing personnel from extraneous work. Such capabilities are simplifying arduous operations and allowing for more advanced and accurate detection of fraudulent claims.

But, with the exponential boom of technology comes the reactionary reigning in of the immense power at play. AI’s fast growth and implementation also means pushback. Just as industries have been quick to employ AI, they are now following up with increased protocols and training aimed at reducing the ethical dilemmas posed by the technology. Will the rapid adoption of AI lead to equally swift rules and regulations around the utilization of such tools?

In this blog, we analyze the intersection of artificial intelligence and workers’ compensation—exploring the implications, benefits, and challenges of the two. From streamlining claims processes to enhancing risk management strategies, the applications of AI within the workers’ comp industry are vast and varied.

Narrow v. Generative Artificial Intelligence

First, let’s break down the various models of artificial intelligence: narrow (traditional) and generative. Traditional AI models are trained on new and existing data to target a specific desired decision outcome. Generative AI consists of a general model which is then applied to a variety of use cases. For workers’ compensation, these two models can be used in tangent with one another to simplify claims management, clerical processes, and administrative tasks. 

In the short-term, these advancements are more likely to start with the insurance provider side of claims. Tools can verify system controls, claimant facts, and flag any fraud which will ultimately improve the compensation system as a whole. According to Business Insurance, generative AI has the potential to efficiently scan documents, filter information, and detect falsification. Such advancements would greatly improve the claims process and timeliness.

Considerations

With AI’s benefits also come its limitations. Most notably, machine learning and application is still in its infancy so mistakes are common. Currently, AI is still a new technology with bugs, flaws, and wrong information. These tools are only as good as the data provided. Even with perfect inputs, AI tech can fail to produce desired results. Experts caution against blindly operating these systems and suggest starting small with automations.

As it is important to understand the power of AI, it is also important to consider its weaknesses. AI advocates and skeptics alike have raised concerns about the societal impact of the technology. The pressing questions at hand: how much decision-making power should computers have? How much control should the government have in AI implementation and regulation? How are biases addressed within the technology? Experts are weighing in, but a general consensus and legislative motion has yet to take place.

Next Steps

For now, the workers’ compensation industry will remain largely unaffected by artificial intelligence. Automation tools are expected to provide increased efficiency on the claims-side of processes, but roll-out will take time and patience as machine learning takes place. 

We will continue to monitor technological advancements and changes within the workers’ compensation sector. As always, the Poirier Law Firm team is here to fight for the best interest of workers. As AI enters into the world of workplace injuries, we will continue to prioritize employees and do all we can do to ensure the care and compensation of our clients.