Prudential Financial's 2026 Benefits & Beyond study, based on surveys of 3,096 full-time US employees and 760 employers, found that 83% of employers want to use AI for benefits guidance, but only 58% of employees say they would actually use it. The gap is not a technology problem, according to Scott Roth, vice president and chief technology officer of Prudential Group Insurance.
"Our research suggests this is less a technology adoption challenge and more a trust challenge," Roth said. "Employees are already using AI in their daily lives and increasingly for financial, health, and benefits-related decisions, but confidence in the technology hasn't kept pace with adoption."
The trust gap in numbers
While 78% of employers view AI positively, only about half of employees feel the same way - a 27-point difference. Privacy and security dominate employee concerns, cited by 52% of workers, edging out accuracy and reliability worries at 49%. Just 24% of employees currently use AI for benefits guidance despite the technology's widespread availability.
Employers are pressing ahead anyway. Among those with concerns about AI in benefits, 40% cite the risk of sharing employees' personally identifiable information as their top worry.
"Trust is a shared responsibility," Roth said. "Employers, benefits providers, brokers, and technology partners all have a role to play in helping employees understand how AI is being used and how their information is protected. Organizations cannot assume trust will develop automatically."
Union workers lead AI adoption
One counterintuitive finding: unionized employees are significantly more likely to use AI for benefits guidance than salaried counterparts - 40% compared to 27%. Roth attributes this to the culture of member advocacy in union environments.
"In many union environments, there is already a strong culture of helping members understand their coverage, navigate benefits questions, and advocate for their needs," he said. "Tools that make information more accessible and easier to navigate may naturally resonate with those employees."
The finding suggests employees are not opposed to AI on principle. Sixty-five percent of employees say they are comfortable letting employers manage their personal data for benefits purposes - rising to 75% among those in technology roles - indicating openness to personalization when the value exchange is clear.
"Employees are increasingly open to sharing information if it helps them receive more relevant guidance and support," Roth said. "But personalization and trust need to go hand in hand. Employers should ensure employees understand how their data is being used, what protections are in place, and how these tools are intended to help them make more informed decisions."
What good AI-powered guidance looks like
Roth is clear that AI should augment human judgment, not replace it. The vision he describes: technology removes friction from benefits decisions during open enrollment, major life events, or basic questions about what coverage includes.
"Benefits decisions are complex and highly personal, which makes them one of the clearest applications for AI," he said. "Good AI-powered guidance should help employees navigate those decisions with greater confidence - making guidance more accessible, timely, and relevant to their needs."
Prudential's approach centers on standards around privacy, transparency, and responsible data use, while using technology to improve the experience without losing sight of trust.
The broker's role in an AI-driven future
As AI becomes a common starting point for how employees research decisions, Roth sees the benefits broker role evolving but not diminishing. For insurance professionals, this is a shift toward strategic advisory work rather than routine administration.
"AI has the potential to streamline routine and administrative activities, allowing brokers to focus even more on strategic guidance and client relationships," he said. "Employers will increasingly look to brokers to help them evaluate new solutions, navigate implementation decisions, and ensure they're balancing innovation with employee trust."
For those working in insurance and benefits, the practical takeaway is that clients will need help interpreting AI-generated recommendations and understanding data protections. Brokers who can explain how AI tools work - and what safeguards exist - will be positioned to build the trust that drives adoption. The broader AI for Insurance landscape is shifting toward this advisory model, and AI for Executives & Strategy resources can help leaders frame these conversations internally.
When asked what the industry needs to get right before AI in benefits can reach its full potential, Roth is direct.
"Trust," he said. "Our research shows employee adoption of AI is already happening, but confidence in the technology is still catching up. For AI to reach its full potential, employees need to trust that their information is protected, that recommendations are accurate, and that the technology is being used responsibly."
Why this matters for insurance professionals
The gap between employer enthusiasm and employee willingness is the central problem for anyone selling or administering benefits. The data shows employees will share personal information when they see clear value, but they need to understand how that data is used and protected. Insurance professionals who lead with transparency and education - rather than assuming trust will follow the technology - will be the ones who close deals and retain clients as AI adoption accelerates.
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