Ninety percent of U.K. and European insurance professionals expect AI to manage end-to-end claims administration within 24 months, pushing the industry to adapt its sales and underwriting processes. Carriers that fail to integrate these tools into customer interactions risk losing market share as buyers increasingly use technology to shop for and purchase policies.
Auto insurance shopping driven by AI tools
Auto insurance shoppers averaged 3.5 quotes per person in JD Power's 2026 U.S. Insurance Shopping Study, the highest volume in the study's history. Digital purchases are up 36 percent since 2021, with 48 percent of policies now bought online. Carriers that underinvest in AI for Sales and customer interactions risk losing ground to competitors. Research finds AI users are more likely to switch insurers and feel more confident in their coverage decisions.
AI in customer service and first notice of loss
Branch Insurance now processes 85 percent of first notice of loss contacts through digital or voice AI channels. Insurtech Liberate's AI platform can handle 6,000 calls per second, providing critical capacity during catastrophe events when human agents are overwhelmed. AI voice tools detect tone and urgency to route calls appropriately, feeding live agents real-time information via earpiece. Executives at Berkshire Hathaway Travel Protection and Branch Insurance recommend evaluating these systems by benchmarking performance against the weakest agents, which simplifies the business case for adoption.
Governance and risk management
As AI systems handle more decisions, executives are warning about the associated liabilities. Allianz Chief Technology Officer Christian Freytag said AI now represents a greater risk to insurers than business interruption or natural catastrophes. Tokio Marine North America Executive Vice President and CIO Robert Pick cautioned against moving faster than governance and oversight frameworks can support. Regulators are tightening oversight of AI for Insurance, requiring carriers to explain what data drove a premium increase or nonrenewal - and giving policyholders a documented path to correct inaccurate information.
Why this matters for sales professionals
Buyers are already using AI to generate multiple quotes and compare coverage options before ever speaking to an agent. To maintain a competitive edge, professionals should focus on how their tools deliver transparent, explainable value to the customer. Adopting these AI-assisted workflows will be necessary to retain buyers who expect immediate, personalized digital interactions.
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