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AI Tools 74% 1 min readJun 25, 2026, 2:13 PM

Insurers turn to generative AI for catastrophe modeling, but hallucinations and sales logic could get in the way

Evolving story · 1 updatesAI in Catastrophe Modeling for InsuranceTimeline →
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Insurers explore generative AI for catastrophe modeling to improve risk assessment, but researchers highlight risks like hallucinations and sales-driven logic flaws.

Insurers turn to generative AI for catastrophe modeling, but hallucinations and sales logic could get in the way
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Diffusion models generate tens of thousands of plausible weather events where historical data doesn't exist. Insurers are hoping for more precise risk assessments. Researchers warn about hallucinations.

The article Insurers turn to generative AI for catastrophe modeling, but hallucinations and sales logic could get in the way appeared first on The Decoder.

Source: Insurers turn to generative AI for catastrophe modeling, but hallucinations and sales logic could get in the way. Read the full piece at the source.

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