1st Central launches agentic AI motor insurance proposition

1st Central Group has launched what it describes as the first agentic AI motor insurance proposition, enabling customers to buy cover, make policy changes and manage payments through an AI assistant.

Developed in collaboration with Microsoft, Motivo is currently available exclusively through price comparison website Confused.com.

The proposition uses conversational AI assistant ’Kai’ to help customers manage their policies through voice or chat, with support available 24 hours a day.

Initial testing indicates that comparable customer interactions can be completed in around 40% of the time previously required, according to the insurer.

Michael Lee, chief executive of 1st Central Group, said the launch demonstrated how the insurer’s investment in proprietary technology could accelerate product development.

“Together, we have developed a proposition that applies AI across key stages of the purchase journey and when customers make changes to their policy,” he said.

“Initial testing indicates it could reduce the time customers spend managing their insurance by around 40 per cent.”

Greater customer convenience 

Motivo has been built using Microsoft’s AI and cloud capabilities alongside 1st Central’s proprietary technology platform, including its Focus policy administration system.

The insurer said its ownership of the platform enabled it to integrate new capabilities directly into its operations and develop digital propositions more quickly.

Despite the use of AI, insurance specialists remain available when customers need additional assistance or human judgement. Claims support and further functionality are planned for later development phases.

Darren Hardman, chief executive of Microsoft UK and Ireland, said Motivo demonstrated how AI could make insurance faster and more responsive while retaining access to expert support.

He added: “By reducing the time spent buying and managing a policy and providing support around the clock, Motivo will give customers greater convenience, control and choice.”