AI is a mixed bag for the candidates running for insurance commissioner of Oklahoma. Some see benefits for policyholders; others say AI just generates advantages for insurers. The next commissioner faces the challenge of bringing down some of the highest premiums in the U.S. Three of the five candidates answered questions on AI's impact and more.
On June 16, the state's primary voters will choose who advances to November, aiming to succeed term-limited insurance commissioner
How will AI impact claims processing, risk assessment and fraud in insurance?
Craig MacIntyre (D): I believe AI is and will continue to be used in three areas of insurance: underwriting, claims, pricing. AI is very good at some things (distilling large amounts of data to recognize patterns being the one that is most likely to be leveraged in insurance). The danger of AI is relying on it to actually make decisions. As we navigate the world with AI in it, the obvious weakness and prejudice of AI becomes more apparent. Pricing is probably the area that we will see the most pushback for use of AI.
Greta Shuler (R): AI is already replacing agent roles. We need our agents to be on top of their game to retain their value and continue servicing policyholders and I want the OID [Oklahoma Insurance Department] to be an integral part in continuing education and working with agents to maintain that value to companies.
Bob Sullivan (R): AI is already transforming the insurance industry and will continue to do so. It can process vast amounts of information in seconds, identify patterns humans might miss, and improve efficiency in areas such as underwriting, claims handling, fraud detection and risk assessment.
However, AI should remain a tool — not the decision-maker. Insurance is ultimately about people. A homeowner whose roof has been damaged by a tornado, a family dealing with a serious auto accident, or a senior citizen trying to understand their policy deserves human review and human accountability. AI can help calculate the numbers and identify trends, but common sense, fairness and compassion must remain part of the process.
As commissioner, I would support responsible innovation while ensuring that insurers cannot hide behind algorithms to avoid accountability.
How will AI unlock value for insurance policyholders?
MacIntyre: It won't. It will unlock value for companies if they can figure out how to use it within the bounds of regulation. The value added for policyholders will be essentially zero.
Shuler: AI for consumers will be used to compare policies and coverage. I can see where AI will help consumers commit fraud, which is problematic. I can also see it helping consumers file more and larger claims, which will result in higher premium costs. On the other hand, it could help independent agents weigh coverage and write manuscript endorsements more easily.
Sullivan: The greatest benefit of AI for policyholders is the potential for better service, faster responses and more accurate pricing. AI can help insurers process routine claims more quickly, identify risks before losses occur, and provide consumers with more personalized information about their coverage. It may also help reduce fraud, which ultimately drives up costs for honest policyholders.
In Oklahoma, where weather-related losses are a major factor in insurance costs, AI can help identify mitigation opportunities, improve catastrophe modeling and provide better information to homeowners about how to reduce risk before a storm strikes.
The goal should be to use AI to improve the customer experience — not to replace the professional agents, underwriters and claims adjusters that are integral to the process.
What would your priorities be if elected commissioner?
MacIntyre: Regarding AI, my main priority is working with the legislature to ensure that we have adequate reasonable regulation in how AI tools are used. Insurance impacts real people and at the end of the day, any tool used needs to be fair and transparent. Regarding my main priorities, bring down rates in Oklahoma and ensure that claims service is fair and transparent. The next commissioner has a huge structural job to do and only seven months to make it happen.
Shuler: Our rates are some of the highest in the nation, yet there's no clear correlation why. To make matters worse, carriers aren't paying. We need a commissioner who advocates to get claims paid and fines the carriers when they don't pay, who will make the market more competitive by bringing in carriers, who will provide extensive consumer education on insurance where almost none exists and who will eliminate fraud, utilizing the fraud department to its full capacity. I will do all these things. I will also lower fire ratings in rural Oklahoma to lower the cost of homeowners premiums immediately.
Sullivan: My priority is to ensure that Oklahoma benefits from AI advances while protecting consumers from unintended consequences. OID exists to protect insurance consumers and policyholders. First, I would encourage innovation that improves efficiency, reduces fraud and helps policyholders and insurers better manage risk.
Second, transparency and accountability. If AI is being used to influence underwriting, claims decisions or pricing, there must be clear disclosure, oversight and a responsible human decision-maker behind the process. Third, I would work to ensure AI is used to strengthen — not weaken — the relationship between insurers and policyholders. Technology should help consumers receive better service, not make it harder for them to get answers when they need them most. The responsibility for fair treatment of Oklahoma consumers must always rest with people, not algorithms.
