AI in Insurance: 87% of Consumers Demand Human Agents Despite Growing Tech Adoption

As companies accelerate artificial intelligence (AI) adoption, an overwhelming 87% say that having a human insurance agent remains important, according to a new national survey commissioned by Independent Insurance Agents & Brokers of America (the Big "I").

However, at the same time, 61% of consumers say they are more likely to choose an insurance agent who uses AI and other modern technology to provide faster and more personalized service, underscoring consumers' need for technology that enhances, rather than replaces, the valued relationships and expertise independent agents provide.

"This survey confirms that consumers want to deal with a trusted adviser when they shop for insurance coverage," said Charles Symington, Big "I" president & CEO. "AI can speed up the process, but it can't replace what an independent agent brings: market access, deep product knowledge and a relationship built over time. That combination is what gives clients confidence and peace of mind, especially when navigating a complex market."

Roughly two-thirds (67%) responded positively to the use of AI in the process to identify coverage gaps, answer questions more quickly, and improve customer service. Of those who viewed AI positively, the largest group (39%) specifically said they support it as long as a human insurance professional remains involved.

While Americans are more likely to embrace AI for routine tasks, consumers prioritize human guidance at critical moments. Nearly nine out of 10 respondents (87%) said having a dedicated insurance agent is important when making their insurance decisions. During major events, such as accidents, storms or significant claims, consumers overwhelmingly preferred assistance from an insurance professional, with just 6% saying they would rely on AI alone.

Also, in terms of communication preferences for updates and routine questions, a phone call (28%) was the top answer. This was followed by email (23%) and text message (21%).

Respondents said AI adds the most value when helping compare insurance quotes, answering general insurance questions and providing claim status updates. The findings suggest that consumers view AI and other digital tools as a means to improve efficiency and convenience, while relying on agents for personalized advice, local expertise and guidance on important insurance decisions. Survey respondents expect the best of both technology and human relationships. Nineteen percent said faster responses would make them more likely to stick with an agent, while 18% said a personal relationship would do that. Other responses included better pricing (17%), mobile or text option (16%) and plain-language expectations (15%).

"As AI advances within the industry and becomes more broadly integrated into our daily lives, agents must make sure their customers get speed and convenience without losing the personal guidance and expertise that matters most," said Kevin Brandt, executive director of Trusted Choice. "Consumers are not choosing between technology and personal service— they increasingly expect both."

When asked about AI and the insurance industry over the next five years, consumers said their biggest concern was "losing the ability to work with a trusted insurance professional," which was cited by around a third of respondents. The next closest responses were "privacy and how my data is used" and "AI making mistakes on my policy or claim."

Respondents were also asked about whether agents using AI tools would be better or worse at serving their customers in five years. As many as 38% said "better," 21% expected "no real change," 26% said "worse" and the remainder were "unsure," highlighting the breadth of opinion toward AI and the insurance buying journey.

By automating routine tasks, agents can spend more time helping clients evaluate risks, understand coverage options, navigate claims and build relationships.

Methodology

National survey of 400 U.S. adults conducted by Mfour Data Research via mobile targeting consumers ages 25+ who have home, auto, and/or business insurance.