LLMs are really good when your primary goal is just to fob people off. So customer support when you don't care about your customers etc. I can imagine it's very appealing when you just want to come up with semi-plausable reasons to deny insurance claims. Who cares if it's wrong? They might give up anyway and you've saved paying out!
Not saying they're not good for other things, but the "waste people's time and make them go away" use is just so perfect for the capabilities of even cheap models.
Anybody that has worked on a phone exchange knows they already do this sort of thing. Some customers just never get through to a person. This is by design.
On the flip-side, LLM's can be pretty good at coming up with almost water-tight stories for the insurance claim!
Believe it or not, that's not even the topic of the article.
The article is entirely about the AI doing the first pass of the claim intake and causing a lot more work for everyone involved instead. Mis-routing, mis-categorization, hallucinating details, etc.