Editor's Note: This is the third installment in a three-part series examining new research on the integration and impact of artificial intelligence across the insurance industry.
Exclusive insights from Digital Insurance's new research survey, "AI Readiness Survey 2025," reveal the current state of AI in the insurance industry; how ready is the industry, what barriers do insurance companies face in implementing new tech and how can they improve their tech readiness?
Top findings from the report
- Only 7% of insurance professionals say they totally agree that their tech stack is completely modernized.
- Data security concerns are the most cited barrier to further implementing AI technology.
- Nearly half of insurance professionals say their organization is upskilling and training existing employees to ensure the firm's capabilities to leverage AI technologies.
The survey was conducted during July and August 2025 with responses from approximately 100 insurance professionals. Results from the report are highlighted below using interactive charts. Mouse over each section for more information.
Tech infrastructure readiness
Just over a third, 31%, of respondents say they mostly agree that their tech stack is completely modernized, and only 7% say that they would fully agree. Our research shows only 9% of insurance professionals totally agree that their unstructured data is easily accessible for analysis, and only 11% would say the same of their database accessibility. More than half of respondents agree that their enterprise content is siloed in different places.
Policy readiness
Half of insurance professionals agree that their companies have firm AI use policies in place. Most agree that their organization has firm data management or governance in place, with 28% in total agreement and 40% of respondents mostly in agreement. Fourteen percent completely agree with the statement that their organization has an AI council with clear guidelines to mitigate risks and that they have supports in place to monitor AI outputs for bias.
Barriers to readiness
Concerns with data security are the top reason cited by insurance professionals, 41%, for holding back further implementations of AI technology at their organizations. The use of artificial intelligence to gather and share personal data, and the vulnerability of AI systems that leave organizations susceptible to hacking, are
Steps to readiness
While responses noted from the previous chart show that 32% of insurance organizations see the lack of in-house skills to implement and manage AI as a significant barrier to adoption, nearly half, 49%, of professionals are upskilling and training existing employees to ensure the firm's capabilities to leverage AI technologies. Forty-three percent are partnering with tech vendors, and 41% say that they are hiring new employees that already possess AI knowledge.
