Artificial intelligence is moving from isolated pilot projects into daily operations at US insurance companies, where it is now cutting the time and resources spent on repetitive administrative work, according to a report by insurance tech firm Get Covered.
The report said AI is being embedded across underwriting, customer service, fraud detection, claims processing and internal operations. The technology is handling routine tasks such as analysing documents, identifying missing information, answering common customer queries, organising claims documentation, preparing reports, and consolidating customer and risk data for underwriters - freeing employees to focus on decisions that require judgement and experience.
Routine inquiries and claims
AI-powered customer service systems now handle up to 80 per cent of repetitive customer contacts across the industry, according to the report, before transferring more complex cases to licensed representatives. In claims processing, computer vision models can evaluate vehicle damage from uploaded photographs, while generative AI helps adjusters organise documentation and prepare reports.
The report also points to broader adoption. Allstate and Progressive have expanded AI-powered customer service capabilities, and USAA has partnered with Google Cloud to develop computer vision models that map vehicle damage photos to repair-or-replace predictions for individual parts.
Underwriting and fraud detection
AI assistants are being used in underwriting to consolidate information and recommend next steps, replacing the manual review of dozens of documents and disparate data sources. The report said final underwriting decisions remain with humans, just as customer service agents handle complex cases.
Insurers are also using AI for fraud prevention. The same technology, however, is being used by fraudsters to create fake documents, manipulated images and synthetic identities.
"AI is helping insurers analyze documents and identify missing information before a human ever becomes involved. And importantly, it is not replacing insurance professionals. Instead, these systems are removing repetitive administrative work so employees can focus on higher-value decisions that require judgement and experience," said Brandon Tobman, CEO of Get Covered.
For insurance professionals, the practical takeaway is to treat AI as an assistant for the repetitive parts of your workday - document review, data consolidation, routine inquiries - while maintaining responsibility for the judgments that require experience. Those who learn to work with these systems may find more room to focus on complex cases, while those who ignore the shift risk being left with administrative tasks that no longer require a human in the loop. For those looking to build these skills, AI for Insurance and AI for Customer Support resources cover how these tools work in practice.
Your membership also unlocks:
