Tom Booth, chief executive, DARAG Group
9 May 2023Analysis

DARAG to use new AI tool on claims data

DARAG has announced that it has become the first tech-driven legacy acquirer implementing DGTAL’s AI tool, DRILLER

According to DARAG DRILLER is the first AI-software that understands the content of claims documents and enables real time analysis and valuation of claims portfolios.

DGTAL, which is based in Europe and decodes and processes unstructured insurance data with AI and DARAG, has announced the signing of a three-year partnership. The agreement entails legacy portfolios with open claims as well as future acquisitions.

The company said that DRILLER will enable DARAG to assess insurance portfolios much faster and more accurately, thus delivering a competitive edge in the pricing of portfolios and in the settlement of claims. Focusing solely on insurance and having started three years ago, DGTAL is significantly advanced in providing AI that trains and uses Long Language Models (LLMs) such as GPT at scale for the industry. DGTAL has been established jointly by deep-tech and insurance experts. In that context, it constitutes a natural partner of choice for DARAG, first mover and leading legacy acquirer in Continental Europe.

DRILLER converts all claims-related documents into machine-readable format, understands document types, identifies counterparties, as well as detects, extracts and analyses key topics.

For a P&C run-off company such as DARAG, claims management is at the core of its business and onboarding a new portfolio is a key factor for operational success. For decades, portfolios have been evaluated based on the sometimes-insufficient information systematically available in structured format. DRILLER is claimed to allow more visibility and transparency of the full portfolio during due diligence, onboarding, auditing, and while developing settlement strategies.

Tom Booth, chief executive, DARAG Group, said: “Combining our transaction experience with AI will cement DARAG’s leading position in the legacy market in Europe. It also offers potential benefits for our global operations in the future. DGTAL is the only relevant deep technology provider with insurance DNA, making them a natural fit for us, and we look forward to developing this partnership to the benefit of our clients.”