Artificial intelligence (AI), and particularly generative AI, went mainstream in 2023 with the technology becoming top of mind for companies and customers.

The insurance industry has a particular interest in AI as it presents the sector with novel tools to manage risks. However, AI also poses risks for the insurance sector, such as data confidentiality, bias and privacy issues.

Moody's scooped this year's inaugural award for best use of AI in risk management for integrating AI and machine learning throughout its organisation to enhance analytics.

The risk assessment, data and solutions provider explains that many of its products now have AI and machine learning capabilities integrated across the insurance value chain, from investment research to underwriting and financial reporting.

In addition, by equipping Moody's 14,000 employees with AI tools, it says it is cultivating a culture of AI innovation to better understand how the technology can be applied to help solve some of its customers' greatest challenges.

As an example of its AI solutions, Moody's Insurance Property Assistant is a 24/7 support chatbot directly integrated into Moody's RMS Intelligent Risk Platform applications to answer product inquiries and provide workflow assistance on-demand. The tool includes several innovative features, such as translation services to deliver assistance in a customer's native language.

Having launched some AI solutions already, Moody's says it also spent the last year researching and developing other solutions that will soon be ready to launch. These solutions span insurance underwriting, catastrophe risk exposure reporting and IFRS 17 financial reporting.

Overall, the judging panel said Moody's entry shows AI being used in a wide range of applications, as well as providing practical ways to enhance user journeys.