Organizations are able to customize synthetic data to specific conditions that can't be obtained with authentic data. Credit: TensorSpark/Adobe Stock
By 2027, as many as 40% of the AI algorithms used by insurers will integrate synthetic data in order to ensure fairness within their processes and comply with regulations, a recent report from IDC FutureScape predicted.
Synthetic data is created artificially through computer simulation or generated by algorithms as either an alternative or supplement to real-world data. This data allows AI models to mirror real-world scenarios while also protecting the privacy of customers.
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Brittney Meredith-Miller
Brittney Meredith-Miller is assistant editor of PropertyCasualty360.com. She can be reached at [email protected].
