Majority of the world’s insurers and biggest banks are using external GenAI tools, and about a fifth of them have yet to decide where responsibility for AI lies.

This is contained amongst the findings of an ORX survey of 26 of the world’s biggest banks and insurers, of which most were using Microsoft Copilot, followed by ChatGPT and Google Bard/Gemini.

The sample features the world’s largest names, representing a considerable workforce whilst conducted amongst a very small number of banks,

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Some 75 percent of the firms surveyed say they have an AI use policy in place or are planning to put one in place within the next 18 months.

However, it seems that more needs to be done within some firms to effectively communicate these policies.

Steve Bishop, research and information director at ORX comments, “Only last October, the picture regarding the use of GenAI in daily operations was very different, with many banks and insurers taking a cautious approach or even blocking access, mainly to ChatGPT. Since then, we’ve seen a slight shift and some firms have been using pilot exercises to explore the value of these tools and understanding use cases.

Microsoft Copilot features highly, with some firms deploying it across the whole organisation. This is perhaps due in part to the fact that Copilot is integrated with the Microsoft ecosystem that many firms use.”

Most of the surveyed firms are currently applying a cross-functional approach to ensure adequate oversight and management of risks driven by GenAI.

There is recognition among respondents that these risks are still evolving and ensuring input from a variety of risk professionals and stakeholders helps to better understand and manage these.

Overall, 75 percent of firms said that oversight of risks associated with GenAI lies with operational risk functions, but in partnership with other functions, such as technology, cyber, legal and compliance teams.

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