Insurers see ROI from analytics
A WTW survey reports North American P/C insurers that invested in advanced analytics and AI—especially in claims automation and fraud detection—are recording materially higher returns, faster settlements, and lower loss‑adjustment expenses. (insurancejournal.com)
Insurers classified as analytics “Leaders” outperformed “Learners,” with Leaders delivering stronger growth and profitability while the performance gap continued to widen. (wtwco.com) The WTW 2026 Advanced Analytics & AI Survey sampled 59 North American P&C insurers and compared results across the 2022–2024 period. (insurancebusinessmag.com) WTW found carriers relying on advanced rating and pricing models made up nearly 80% of respondents, with a further 11% planning imminent implementation, a dynamic WTW says will make predictive rating models “essentially universal” from 2026. (wtwco.com) Claims analytics lags pricing today: only 33% of carriers currently use analytics for fraud detection and 29% for severity assessment, but WTW projects those figures will reach roughly 65–70% within two years. (wtwco.com) Straight‑through processing in claims is slated to jump from 14% now to about 50% as automation scales, and over half of survey respondents report current use of generative AI/LLMs while another 29% plan adoption within two years. (wtwco.com) Data and talent shortfalls remain constraints: 42% of respondents cited data‑related issues and inadequate IT support as major barriers, only 20% reported a well‑defined analytics strategy, and just 12% regularly provide analytics training. (insurancebusinessmag.com)
