Underwriting and threat profiling stays the realm of the insurance coverage worth chain anticipated to be most positively impacted by AI, in accordance with a GlobalData ballot of trade insiders. Nonetheless, the proportion choosing this space declined significantly between Q3 2025 and Q3 2026, whereas product improvement recorded a pointy enhance. This means that perceptions of AI’s potential are broadening as insurers discover functions throughout the broader worth chain.
GlobalData’s ballot, run on Verdict Media websites in Q3 2026, discovered that 34.4% of respondents consider underwriting and threat profiling would be the space most positively impacted by AI. This was adopted by customer support (20.4%), claims administration (18.3%), product improvement (16.1%), and advertising and marketing and distribution (10.8%). In contrast with Q3 2025, the proportion choosing underwriting and threat profiling fell by 11.4 share factors (pp) from 45.8% whereas claims administration declined by 2pp. In distinction, product improvement recorded the biggest enhance, rising by 8.9pp; as well as, customer support rose by 2.8pp whereas advertising and marketing and distribution rose by 1.6pp.
These outcomes point out that the insurance coverage trade is shifting past viewing AI primarily as an underwriting software. Though underwriting stays the main software, insurers are more and more utilizing AI to analyse buyer and market information, establish protection gaps, speed up product design, and develop extra personalised choices. The rise in product improvement may additionally mirror rising aggressive stress on insurers to launch merchandise that reply extra rapidly to rising dangers and altering buyer expectations.
AI can also be changing into extra embedded in customer support by way of digital assistants, personalised communications, and sooner question resolutions. In claims, the know-how can help fraud detection, harm evaluation, doc processing, and settlement choices. Nonetheless, the slight decline in respondents choosing claims administration might counsel these functions have gotten established, somewhat than being considered as the realm with the best future affect.
To maximise the worth of AI, insurers ought to undertake a coordinated technique throughout the complete insurance coverage worth chain, somewhat than focusing funding on particular person use instances. This contains combining AI-driven underwriting with clever claims automation, enhanced customer support, and data-led product innovation. Insurers should additionally be certain that AI techniques are clear, truthful, and regulatory compliant in all AI functions to construct belief and long-term worth.
“Insurers ought to leverage AI at each stage of the worth chain” was initially created and revealed by Life Insurance coverage Worldwide, a GlobalData owned model.
