Underwriting remains insurers’ top AI use case despite broader adoption

Underwriting and risk profiling remains the insurance function expected to benefit most from artificial intelligence (AI), although insurers are increasingly adopting the technology across a wider range of business areas, according to research from GlobalData.

A survey conducted by the data and analytics firm found that 34.4% of respondents identified underwriting and risk profiling as the area likely to see the greatest benefit from AI adoption.

Customer service ranked second at 20.4%, followed by claims management (18.3%), product development (16.1%) and marketing and distribution (10.8%).

The findings also highlighted a shift in sentiment compared with 2025. While underwriting remained the leading use case, the proportion of respondents selecting it fell by 11.4 percentage points year-on-year.

Product development recorded the biggest increase, rising by 8.9 percentage points, while customer service and marketing and distribution also posted gains.

Broader adoption

GlobalData said the results suggested insurers were moving beyond isolated AI use cases towards broader deployment across multiple business functions.

Sahil Haider, insurance analyst for GlobalData, said: “As AI capabilities mature, firms are looking beyond improving risk selection and towards enhancing customer engagement, accelerating product innovation and supporting operational efficiency.

“This broader adoption reflects a growing understanding that AI can create competitive advantages throughout the insurance value chain rather than within a single function.”

Haider added that insurers were increasingly moving from experimentation to more strategic deployment of the technology.

He said: “Successfully combining underwriting, product development, claims and customer service will allow insurers to respond more quickly to changing customer expectations, improve operational performance and build more resilient businesses.

“However, maintaining strong governance, transparency and regulatory compliance will be essential to ensuring AI delivers sustainable long-term value.”