Showing posts with label Metlife. Show all posts
Showing posts with label Metlife. Show all posts
Monday, June 24, 2019
AI may not take your job, but It could become your boss
When Conor Sprouls, a customer service representative in the call center of insurance giant MetLife talks to a customer over the phone, he keeps one eye on the bottom-right corner of his screen. There, in a little blue box, AI tells him how he’s doing.
Talking too fast? The program flashes an icon of a speedometer, indicating that he should slow down.
Sound sleepy? The software displays an “energy cue,” with a picture of a coffee cup.
Not empathetic enough? A heart icon pops up.
For decades, people have fearfully imagined armies of hyper-efficient robots invading offices and factories, gobbling up jobs once done by humans. But in all of the worry about the potential of artificial intelligence to replace rank-and-file workers, we may have overlooked the possibility it will replace the bosses, too.
Sprouls and the other call center workers at his office in Warwick, Rhode Island, still have plenty of human supervisors. But the software on their screens — made by Cogito, an AI company in Boston — has become a kind of adjunct manager, always watching them. At the end of every call, Sprouls’ Cogito notifications are tallied and added to a statistics dashboard that his supervisor can view. If he hides the Cogito window by minimizing it, the program notifies his supervisor.
Cogito is one of several AI programs used in call centers and other workplaces. The goal, according to Joshua Feast, Cogito’s chief executive, is to make workers more effective by giving them real-time feedback.
“There is variability in human performance,” Feast said. “We can infer from the way people are speaking with each other whether things are going well or not.”
The goal of automation has always been efficiency, but in this new kind of workplace, AI sees humanity itself as the thing to be optimized. Amazon uses complex algorithms to track worker productivity in its fulfillment centers, and can automatically generate the paperwork to fire workers who don’t meet their targets, as The Verge uncovered this year. (Amazon has disputed that it fires workers without human input, saying that managers can intervene in the process.) IBM has used Watson, its AI platform, during employee reviews to predict future performance and claims it has a 96 percent accuracy rate.
Then there are the startups. Cogito, which works with large insurance companies like MetLife and Humana as well as financial and retail firms, says it has 20,000 users. Percolata, a Silicon Valley company that counts Uniqlo and 7-Eleven among its clients, uses in-store sensors to calculate a “true productivity” score for each worker, and rank workers from most to least productive.
Management by algorithm is not a new concept. In the early 20th century, Frederick Winslow Taylor revolutionized the manufacturing world with his “scientific management” theory, which tried to wring inefficiency out of factories by timing and measuring each aspect of a job. More recently, Uber, Lyft and other on-demand platforms have made billions of dollars by outsourcing conventional tasks of human resources — scheduling, payroll, performance reviews — to computers.
But using AI to manage workers in conventional, 9-to-5 jobs has been more controversial. Critics have accused companies of using algorithms for managerial tasks, saying that automated systems can dehumanize and unfairly punish employees. And while it’s clear why executives would want AI that can track everything their workers do, it’s less clear why workers would.
“It is surreal to think that any company could fire their own workers without any human involvement,” Marc Perrone, the president of United Food and Commercial Workers International Union, which represents food and retail workers, said in a statement about Amazon in April.
In the gig economy, management by algorithm has also been a source of tension between workers and the platforms that connect them with customers. This year, drivers for Postmates, DoorDash and other on-demand delivery companies protested a method of calculating their pay, using an algorithm, that put customer tips toward guaranteed minimum wages — a practice that was nearly invisible to drivers, because of the way the platform obscures the details of worker pay.
There were no protests at MetLife’s call center. Instead, the employees I spoke with seemed to view their Cogito software as a mild annoyance at worst. Several said they liked getting pop-up notifications during their calls, although some said they had struggled to figure out how to get the “empathy” notification to stop appearing. (Cogito says the AI analyzes subtle differences in tone between the worker and the caller and encourages the worker to try to mirror the customer’s mood.)
MetLife, which uses the software with 1,500 of its call center employees, says using the app has increased its customer satisfaction by 13 percent.
“It actually changes people’s behavior without them knowing about it,” said Christopher Smith, MetLife’s head of global operations. “It becomes a more human interaction.”
Still, there is a creepy sci-fi vibe to a situation in which AI surveils human workers and tells them how to relate to other humans. And it is reminiscent of the “workplace gamification” trend that swept through corporate America a decade ago, when companies used psychological tricks borrowed from video games, like badges and leader boards, to try to spur workers to perform better.
Phil Libin, the chief executive of All Turtles, an AI startup studio in San Francisco, recoiled in horror when I told him about my call center visit.
“That is a dystopian hellscape,” Libin said. “Why would anyone want to build this world where you’re being judged by an opaque, black-box computer?”
Defenders of workplace AI might argue that these systems are not meant to be overbearing. Instead, they’re meant to make workers better by reminding them to thank the customer, to empathize with the frustrated claimant on Line 1 or to avoid slacking off on the job.
The best argument for workplace AI may be situations in which human bias skews decision-making, such as hiring. Pymetrics, a New York startup, has made inroads in the corporate hiring world by replacing the traditional résumé screening process with an AI program that uses a series of games to test for relevant skills. The algorithms are then analyzed to make sure they are not creating biased hiring outcomes, or favoring one group over another.
“We can tweak data and algorithms until we can remove the bias. We can’t do that with a human being,” said Frida Polli, Pymetrics’ chief executive.
Using AI to correct for human biases is a good thing. But as more AI enters the workplace, executives will have to resist the temptation to use it to tighten their grip on their workers and subject them to constant surveillance and analysis. If that happens, it won’t be the robots staging an uprising.
2019 New York Times News Service
source: news.abs-cbn.com
Sunday, November 9, 2014
Why space tourist loophole in life insurance may end
NEW YORK - While private pilots and skydivers have to take out extra life insurance to cover the added risk of their pursuits, space tourists do not need special policies on their high flying rides.
That loophole is likely to disappear, slowly, after the fatal crash last week of a test flight of a Virgin Galactic space ship designed to take tourists into space.
The loophole exists because U.S. life insurance policies don't ask about space tourism or exclude it from coverage, meaning insurers most likely would have to pay if the holder died on a space trip, insurance industry veterans said.
Insurance companies, which say they are considering what to do about space tourists after the Virgin crash, are likely to start adding questions about space travel and may even explicitly exclude space coverage, the industry observers said.
The companies themselves are taking a cautious approach.
"If we had an applicant with such plans, we would postpone any underwriting decision until they returned," Prudential spokeswoman Sheila Bridgeforth said.
Northwestern Mutual said that it is paying close attention to the issue after the crash, but that there is too little safety data to assess the risk of space tourism. U.S. life insurer MetLife said it doesn't have imminent plans to offer space tourism insurance.
Still, the industry is starting to gear up for sparce tourists, just as they cover satellite launches. Pembroke Managing Agency offers a policy that pays up to $5 million per space passenger or up to $20 million per trip, according to parent Ironshore International, which announced the policy in June.
"I suspect in insurance company offices all over the country right now - as a result of what's happened to the Virgin Galactic plane - it's being discussed," said Burke Christensen, former insurance lawyer and chief executive who has authored or edited three textbooks on insurance law.
It would take time, perhaps years, for those changes to be approved by all U.S. state insurance commissioners, he noted.
In deciding what to charge, insurers are likely to look at satellite policies, which range between 2.5 percent and 10 percent of insured value, Neil Stevens, a space insurance expert and member of the UK's Satellite Finance Network advisory board.
At that rate, a policy paying a million dollars would cost $25,000 to $100,000.
"Getting on a space flight is a material change in risk," he said, akin to strapping rocket boosters onto a car and asking for a new policy. "Put yourself in the place of the insurer. Would you charge the same premium?"
But the data on human space travel is much more favorable, if limited. There have been no fatal suborbital manned flights and three fatal orbital space shots, including the U.S. space shuttles Challenger and Columbia with 14 deaths, and a Soyuz flight that killed one, according to the Seradata SpaceTrak database. That puts the risk of fatal accident on a manned orbital or suborbital spaceflight at 3 in 306 or just under 1 percent, the company said.
Given those numbers, and the few people who are likely to fly on rockets, "you come up with a very, very, tiny, tiny probability" of death, Christensen said, and the company might conclude it is not worth charging extra.
RISKY BUSINESS
Virgin Galactic's SpaceShipTwo broke up after its release from a launch plane high over the Mojave desert on Oct. 31, killing one of two pilots. The craft is designed to carry six passengers on two-hour suborbital flights, including a few minutes of weightlessness.
Virgin's space program, backed by founder Richard Branson and Aabar Investments, a United Arab Emirates investment fund, is the most developed of several projects to develop space tourism, with about 800 deposits for a ride into space at up to $250,000 a seat. Singer Lady Gaga and actor Ashton Kutcher have signed up.
Other companies developing space ships include privately owned XCOR Aerospace and Blue Origin, a startup owned by Amazon.com Inc founder Jeff Bezos.
While current life policies probably would pay in the event of death, applicants for new policies should disclose space plans or risk a dispute with an insurer, said Steven Weisbart, chief economist at the Insurance Information Institute, a non-profit trade association.
Insurers typically have up to two years after a policy is written to contest the application, allowing them to investigate whether the insured person has misrepresented facts.
So it's possible an insurer could avoid paying if someone bought a policy and died in a rocket crash during the two years period.
"You know that insurers are going to look for some way to invalidate the claim if you had a ticket," said Glenn Daily, a fee-only insurance adviser based in New York
source: www.abs-cbnnews.com
Thursday, January 30, 2014
Cheaper tickets lure locals to Super Bowl
NEW YORK (Reuters) – Ticket prices for upper-level seats at the Super Bowl plummeted 38 percent since the conference championship games, the largest drop for the week in six years, as frigid temperatures discouraged football fans from braving the elements to sit in the stands at New Jersey’s MetLife stadium.
Lows of 22 Fahrenheit forecast for Sunday’s game, the first Super Bowl played outdoors in a cold-weather city, drove ticket prices as low as $1,309, said Meredith Owen, TicketCity.com Communication Director, but they have risen since then to an average of $1,609.
Those who did buy tickets, preferred the partially covered premium seats at the lower levels of the stadium.
“Fans are going to be paying a premium for the promise of a buffer from the wind,” said Owen.
The rise in sales of premium tickets made them 54 percent more expensive than upper-level seats – compared with last year’s 30 percent, he said.
Further hampering sales is the distance that separates the New Jersey stadium from the hometowns of the Denver Broncos and the Seattle Seahawks. Those thousands of miles are proving too far to travel for the championship teams’ fans.
Lower ticket prices drew renewed interest from residents of New York, Connecticut and New Jersey, who led visits to TiqIQ.com, a site that resells tickets to the public.
“It is a very good deal to check the Super Bowl off the bucket list and not have to miss a day of work to do it,” said Jesse Lawrence, CEO of TiqIQ.com.
The rise in ticket sales to locals may shrink the $500 million to $600 million the NFL Host Committee estimates the game will generate in economic activity for the region, as fans have no need to pay for hotels or other travel expenses.
Fifty-five percent of hotels within the 3.7 mile-radius of the stadium, and 70 percent of hotels in Manhattan still have vacancies, according to data from Orbitz.com. Hotels close to the stadium are posting an average room rate of $181 on the site, an 8 percent decrease since Wednesday.
“If you look at economic impact, the big factor at the end of the day is dependent on the teams that play, and if they travel,” said Robert Tuchman, President of Goviva, a sports and entertainment events company. “The teams that are in it are really far away, and it’s a long trip. Without a doubt, you are going to find in this market there are a lot of locals.”
But the New York Hotel Association remained optimistic that the game will bring a wave of tourists to the region.
“The weather prediction for Sunday is good, and we’re optimistic that people will come to enjoy the game and stay in the city as well,” said Lisa Linden, the association’s spokeswoman.
As weather forecasts grow more positive, ticket prices are rising again from their weekend low.
“We may be seeing the market coming back from here,” said Lawrence.
It would not be the first comeback in Super Bowl prices.
In 2011, prices fell 19 percent in the first week after the conference championship on fears of bad weather in Dallas before it became the most expensive Super Bowl in history, with prices climbing to an average of $3,649 per ticket, Lawrence said.
“I think it was a similar scenario,” he said.
For those looking for a true respite from the cold, $25,700, the most expensive ticket on the site, buys fans access to a 20,000 square foot indoor facility, an open bar, food and multiple televisions, he said.
(Reporting By Marina Lopes; editing by Barbara Goldberg and Gunna Dickson)
source: 560wgan.com
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