Intelligent AI has released new research identifying what it describes as a systemic “Risk Intelligence Gap” across the UK insurance market, with property underwriting decisions frequently being made using incomplete or inaccurate data.

The report, titled The Risk Intelligence Gap, is based on analysis of more than 30 insurer annual reports and interviews with 20 senior executives from across the insurance sector, including leaders from Zurich Insurance Group, Generali, AXA, Willis Towers Watson, Hiscox, and Tokio Marine Kiln.

According to the findings:

• 93% of UK properties are insured for the wrong amount
• Only 7% of properties are adequately characterised in underwriting files
• 40% to 50% of submissions arrive incomplete
• Underwriters spend more than half their time chasing missing information rather than evaluating risk

The report argues this creates a significant imbalance in underwriting economics, where selecting the wrong risk can be substantially more damaging than minor pricing inaccuracies. One senior underwriter interviewed for the study summarized the issue by stating: “Pick the wrong risk, and it could cost you a hundred million. Wrong pricing, maybe a hundred thousand.”

Anthony Peake, founder and CEO of Intelligent AI, said insurers that solve the underlying data quality problem will be better positioned to improve risk selection, reduce volatility, and accelerate the adoption of agentic AI underwriting capabilities.

The report also points to measurable operational benefits from improved exposure intelligence. Citing industry estimates, insurers using advanced underwriting analytics have reportedly achieved 3–5 point improvements in loss ratios alongside 10–15% increases in new business growth. In some cases, verified property-level data has helped reduce loss frequency by as much as 60%.

The research comes amid rising property claims costs. UK property claims reached £5.7 billion in 2024 and £6.1 billion in 2025, while catastrophe losses globally continue to climb. The report also highlighted that business interruption coverage is often materially underpriced due to limited visibility into supply-chain dependencies.

To address these challenges, Intelligent AI recently introduced Risk_API, an API-first platform designed to embed verified property intelligence directly into underwriting workflows. The company said the technology is intended to support next-generation AI-driven underwriting by improving access to structured, decision-ready risk data at the point of submission.