Revolutionizing Insurance through AI: Insights from the ISE 2025 Summit

 | March 13, 2025

The Rise of a New Ecosystem

The Insurance Service Ecosystem (ISE), launched in May 2024 in Shanghai, has rapidly emerged as a catalyst for innovation in China’s insurance sector. At its core, ISE bridges insurers, insurtech pioneers, and third-party service providers to reimagine risk management, customer experience, and health ecosystems. The recent “AI Trends & Industry Applications” Summit on March 12, 2025, marked a pivotal moment—showcasing how artificial intelligence is no longer a futuristic concept but an operational imperative.

AI in Action: Four Groundbreaking Case Studies

1. Leapstack: AI-Powered Fraud Detection

Leapstack demonstrated its Healthcare Fraud Intelligence Platform, which tackles pervasive issues like “ghost prescriptions” and duplicate billing:

Spatiotemporal Pattern Analysis: Flags suspicious claims by cross-referencing patient visit timestamps and geolocation data.

Behavioral Modeling: Detects abnormal medication refill frequencies (e.g., 30+ prescriptions/month).

Impact: Reduced manual review workloads by 60% in pilot cities like Hangzhou, while increasing fraud detection accuracy to 92%.

2. Shangyong Tech: Oncology Care Optimization

Managing 3,000+ hematologic cancer patients, Shangyong’s AI system combines:

Pharmacodynamic Modeling: Predicts optimal drug dosages, lowering adverse reaction rates by 38%.

Cost Forecasting: Reduces claim overpayments by ¥280 million annually through pre-treatment cost simulations.

Care Navigation: Integrates insurance direct-pay codes to streamline patient pathways.

3. LUCA Healthcare: Early Disease Screening

This healthtech unicorn leverages acoustic AI for COPD detection:

Trained on 100,000+ clinical cough recordings.

Smartphone-based screening achieves 90% diagnostic accuracy vs. traditional spirometry.

Deployed in 12 provincial public health programs, enabling early intervention for high-risk groups.

4. YanDao Tech: Agent Empowerment

YanDao’s vertical LLM for life insurance, “YanKnows”, revolutionizes agent workflows:

Real-time policy comparisons across 800+ products.

Automated claims guidance aligned with CBIRC regulations.

Digital IP tools to boost agent social media engagement.

Strategic Insights from Industry Leaders

Xu Jinghui, ISE Founder:

“Three AI Adoption Paths”: Early adopters, fast followers, and selective integrators can coexist—latecomers may still capture value through targeted use cases.

Standardization Wave: With regulators pushing uniform health insurance products, differentiation will shift to AI-driven add-ons (e.g., chronic condition management).

Data Governance Imperative: “AI’s potential hinges on foundational data structuring—this isn’t a phase you can skip.”

Century Life Executive:

Cost-Security Balance: Advised pooling GPU resources and adopting federated learning to manage AI expenses.

Compliance Guardrails: Recommended third-party audits for AI models handling sensitive health data.

The Road Ahead: ISE’s 2025 AI Integration Plan

1️⃣ Smart Member Onboarding: NLP-driven vetting for third-party service providers.

2️⃣ Regulatory Intelligence: Real-time alerts on policy changes across 31 provinces.

3️⃣ Knowledge Graph Expansion: Mapping relationships between 10M+ medical codes, claims, and therapies.

Why This Matters

The ISE Summit underscores a seismic shift: AI is becoming the connective tissue of insurance ecosystems. For forward-thinking insurers, the message is clear—partner with agile tech providers like Leapstack, invest in modular AI architectures, and prioritize data governance to avoid costly tech debt.

AI Strategy Closed-Door Session｜Insurers & Tech Leaders Chart ISE Platform’s Intelligent Upgrade Roadmap

As Xu Jinghui concluded: “In the age of AI, collaboration isn’t optional—it’s existential.”