GenAI propels AI high on the agenda of auto industry finance providers

The arrival of GenAI has kick-started the rapid application of intelligent systems across the automotive industry. Finance firms, insurers and leasing companies in the industry are using GenAI to automate their interactions with customers, quicken their processing of key data and tighten their control of valuable assets. Many are also relooking at the potential of well-established, classical, AI systems to improve, among other things, fraud detection, customer retention and risk analysis.

“Classical AI, what we’ve been doing for a long time, has become more relevant now. People are paying more attention to its uses in applications like customer retention and payment predictions. Before ChatGPT came around there wasn’t such interest,” says Marc Koehne, Head of Business Model Development at BMW Financial Services.

Koehne oversees the data science team at the finance provider which is using classical AI and GenAI to develop intelligent systems that drive the organization’s growth.

“We have huge expectations for economic benefits of our work. For every euro we spend, we’re expected to get two, three or four back.”

Koehne was one of the key speakers at an online event, hosted by Qorus and CVA, that examined the impact of AI and digital innovation on the auto industry. Representatives from CGI Finance in France, Czech insurer Direct Pojišťovna and event co-host CVA also shared their insights into how AI is changing businesses in the automotive sector.

AI has huge potential to reduce costs and improve margins among downstream companies in the auto industry, says Markus Collet, Partner and Head of Automobility Platform at CVA.

“New and used car sales processes as well as fleet sales can all be improved using AI and in the financing value chain there are lots of use cases such as better pricing, underwriting and fraud detection.”