Agentic AI and the future of insurance

Insurance has always advanced through tools that extend human judgment from actuarial tables to predictive analytics, from mainframes to AI. The latest step in this evolution is agentic AI, a progression beyond generative AI (genAI). While genAI enhanced productivity by drafting clauses or summarizing claims, agentic AI enables autonomous execution of entire workflows, from submission and pricing to compliance and customer engagement.

Agentic AI is redefining underwriting, claims, and distribution, the challenges insurers must address, and the foundational requirements for deploying it safely and at scale.

From automation to autonomy: The rise of agentic AI

GenAI improved task-level efficiency. It generated summaries, supported underwriting assistance, and accelerated claims analysis—all with human oversight. Agentic AI extends that logic to orchestration. It acts as a digital colleague capable of perceiving its environment, making decisions within defined objectives, and coordinating with other agents to complete processes. Consider genAI as the intern who prepares a draft when prompted, and agentic AI is the project manager who gathers inputs, validates compliance, circulates deliverables, and finalizes submissions with minimal intervention.

Three forces that make agentic AI adoption critical are:

• Customer demand for instant, seamless service. 
• Margin pressure requires structural efficiency. 
• Technology readiness with mature orchestration, integration, and governance capabilities. 

Insurance operations span interconnected workflows. Manual inputs and legacy systems often limit the efficiency of insurance processes, including underwriting, claims, renewals, and compliance. While genAI optimized individual activities, agentic AI enables end-to-end transformation.

Autonomous agents can now manage discrete tasks such as fraud detection, risk scoring, and compliance checks. They collaborate as multi-agent ecosystems under a unified orchestration layer, maintaining transparency and oversight through built-in governance. This evolution marks the transition from automation of tasks to automation of outcomes.

Barriers to adoption: Balancing autonomy with assurance

Agentic AI presents both opportunities and risks in equal measure, necessitating proactive oversight from insurance executives. Trust and transparency remain paramount, as opaque decision-making can erode confidence among policyholders and regulators.

Legacy integration poses another barrier. Outdated systems often restrict real-time execution and data connectivity. Without well-defined parameters, autonomous systems risk unintended actions, underscoring the need for strong governance frameworks.

Data quality and stewardship are equally critical; fragmented or biased datasets amplify errors and compliance risks. Cultural resistance may emerge if employees are not adequately engaged or reskilled, while evolving regulatory frameworks introduce uncertainty that could necessitate costly rework for early adopters.

How agentic AI delivers measurable value

Beyond efficiency, agentic AI drives structural change across the insurance value chain. It accelerates operations by reducing underwriting from days to hours and enabling near real-time settlement of simple claims, while optimizing costs by automating manual tasks and freeing teams to focus on strategic analysis and planning. Accuracy improves as consistent rule application enhances precision over time. On the front end, customers benefit from faster responses and more personalized interactions that strengthen satisfaction and trust. In parallel, built-in audit trails ensure transparency, reporting, and regulatory compliance. Ultimately, the modular design of agentic AI promotes strategic agility, allowing insurers to rapidly pilot, test, and scale innovations.

Building a safe and scalable foundation

To achieve sustainable adoption, insurers need to operationalize governance, integration, data, and workforce alignment.

• Establish governance at the design stage Define which actions agents can execute autonomously, and which require human approval. Embed auditability, bias testing, and transparency from the outset—not as retrofits. 
• Build a modern integration layer APIs and middleware enable connection across policy, claims, CRM, and data systems. Prioritize low-friction, high-value use cases and expand incrementally toward full-scale orchestration. 
• Set guardrails for autonomy Design tiered exception handling. Routine underwriting or low-value claims can be automated; regulatory filings or complex negotiations remain human-led. 
• Strengthen data foundations Adopt standardized taxonomies and master data management (MDM). Real-time validation reduces anomalies and improves decision integrity. 
• Align and upskill the workforce Position agents as collaborators. Reskill employees to focus on supervision, empathy, and judgment—the dimensions machines cannot replicate. 
• Engage regulators early Share pilot frameworks proactively to influence standards and reduce rework risk. 
• Scale through phased rollout Start with pilots, validate outcomes, and expand through controlled deployment. Balance innovation with assurance at every stage. 

From guardrails to growth 

Once governance and integration are established, insurers can transition from experimentation to enterprise adoption. The payoff extends beyond productivity: faster cycles, improved decision quality, and more human-centric engagement. Those who approach adoption with structure and discipline will not only keep pace with change but define its trajectory.

As these foundations mature, insurers can envision a near-future operating model shaped by autonomy, where orchestrated agents manage entire workflows, freeing human expertise for strategic, empathetic, and creative decisions.

Predictions: Insurance in the age of agentic AI

In the coming years, agentic AI will fundamentally reshape insurance architecture. By 2029, nearly 80% of common customer service issues are expected to be resolved without human intervention, reflecting a shift toward fully autonomous operations. Insurers will adopt always-on underwriting that delivers instant quotes for routine risks, while automation of administrative tasks will free human agents to focus on empathetic claims resolution. Embedded compliance will enable continuous monitoring and real-time reporting, and expanded models will foster proactive risk prevention and advisory ecosystems driven by autonomous agents.

Use cases such as fraud detection, dynamic underwriting, and renewal decisioning are emerging as strategic priorities for agentic AI adoption. As autonomy becomes a baseline capability, competitive advantage will depend not on the technology itself but on how effectively it is governed. Those who move early, scale responsibly, and maintain strong oversight will define the next era of intelligent insurance operations.

Conclusion: Turning potential to practice

The move from genAI to agentic AI represents a shift from productivity enhancement to operational redesign. Success depends on responsible deployment anchored in governance, data integrity, system integration, and workforce enablement.

Executives can begin by piloting controlled use cases, embedding auditability, engaging regulators, and investing in human–machine collaboration. Machines will manage data-intensive, repeatable work; humans will lead with empathy, strategy, and trust.

As agentic AI converges with the internet of things (IoT), blockchain, and quantum computing, the industry will evolve toward proactive, personalized protection models. Insurance will shift from reactive risk transfer to proactive, embedded risk prevention. The time to act is now. Those who embrace agentic AI with discipline and imagination will define the future of insurance.