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Diving overview:
- Most insurance companies struggling to get results According to Agent AI Platform’s April report, the company is focused on technology for cost reduction and process improvement, and is influenced by generative AI initiatives. Simplify. This report is based on the following industry data: McKinsey, EY, Deloitte And others.
- more Four out of five insurance companies are investing at least $5 million annually in AI. in 14% spend more than $50 million. However, the finance team has been unable to translate the AI investment into revenue, and the project remains in the pilot phase. Meanwhile, a difficult legal environment and complex legacy platforms are also hindering the transition of AI into innovative production, the report said.
- “Most carriers have AI projects,” the report states. Artem Gonchakov, CEO of Simplify. “Few people have an AI strategy. The difference will determine whether AI delivers distributed productivity gains or creates a combined competitive advantage.”
Dive Insight:
Determining the ROI of AI is proving to be a challenge across the industry, as insurance companies, retailers, financial institutions, and more evaluate the performance of their investments.
US technology leader make a plan to spend time $207 millionA.I. Next That’s nearly double the 12-month and last year numbers, according to a KPMG survey of technology executives.. soontwo-thirds of companies report that their AI investments have delivered meaningful business value, but only a few are scaling the technology fast enough to improve ROI. KPMG.
ROI definition mismatch Conflicts between executives and technology employees are also causing confusion in companies about the role of technology, according to . TE Connectivity’s 2026 Industrial Technology Index. only 19% According to the report, the percentage of executives who report being “completely clear” about the ROI of AI.
In the insurance industry, less than half of companies have implemented AI for a single function, and production-scale implementation remains rare. Simplify. The report found that AI use cases in insurance tend to focus on customer service chatbots and document summarization.
Automating end-to-end workflows in underwriting and claims is the least common implementation, according to Simplifai.
“This pattern is consistent across carriers,” the report said. “We have a large number of pilots, limited production, and minimal impact to our bottom line.”
Agentic AI stands to reshape the narrative around AI’s resurgence. More than 3 in 5 IT decision makers expect agents to eventually relent ROI of 100%+, According to PagerDuty. almost 45% A higher percentage of IT executives believe agent AI will have a greater impact than generative AI.
insurance company Introducing agent AI into your workflows reported between 30% and 40% According to the company, claims and underwriting productivity has increased. Simplify.
“The difference is not technological access; any carrier can buy the same models and platforms,” the report said. “The difference is the approach: deploying workflow-first with governance built in, and piloting model-first with integration later.”
