The report reveals critical insights into the industry’s modernisation efforts, challenges, and the growing role of AI.

The findings highlight a strong shift toward artificial intelligence, with over two-thirds (70%) of insurers planning to deploy AI models to make real-time data-driven predictions within the next two years. Reflecting a growing reliance on advanced technology to streamline decision-making and improve customer service.

However, challenges remain. More than half of the respondents (51%) reported their company incurred fines or issued refunds due to operational errors in the past year. Additionally, many insurers face delays in adapting to regulatory and market demands: 58% take more than five months to implement a rule change, while 21% require over seven months.

Legacy systems continue to hinder progress, with nearly half of respondents (49%) admitting their companies are behind schedule in modernising operations. Earnix’s report suggests that a full shift to digital and AI-driven models could help insurers improve accuracy, compliance, and agility.

“These findings underline both the promise and the urgency of embracing AI and advanced technology in insurance,” said a spokesperson from Earnix. The report emphasises the need for insurers to overcome technological barriers to stay competitive and deliver enhanced services.

Join Earnix at Insurtech Insights Europe 2025 in London

Join the Earnix team at Insurtech Insights Europe 2025 on March 19th to 20th at The O2 Intercontinental, London. Earnix has been confirmed as a sponsor for the Europe event, which will bring together over 6000 insurance leaders, entrepreneurs, investors and policymakers from 50+ countries, with 71% of attendees expected to be decision makers. 

For more information, visit here: ITI Europe 2025