What insurers need to know about business AI

Clear explanations of how AI in everyday business apps can affect exposure to loss, incident investigation and recovery.

Understand the difference between assistance and automated action, the controls a business can exercise and the records available when something goes wrong.

Insurance adviser discussing business AI risks, incident investigation and recovery with a client
On this page
  • Clear explanations for risk discussions
  • Understanding incidents and available evidence
  • Connecting benefits with business resilience
An incorrect draft that an employee catches before sending has a different consequence from an automated message delivered to hundreds of customers. Both may be described as “AI use”, but that description tells an insurer very little about the exposure.

The important details are operational:

  • what the feature does
  • what information it uses
  • how far its authority extends
  • how the business would respond to an error.

Those details can be difficult to establish when AI sits inside services the policyholder already uses.

Clear explanations for risk discussions

My explainers connect AI capabilities with recognisable business activities, such as answering enquiries, updating customer records, recording meetings and publishing material. This gives insurers, brokers and policyholders a shared language for discussing how the business operates.

The distinction between assistance and action is central. So is the difference between a control that exists in the software and one that the business has configured, understands and can use.

Clear explanations make risk enquiries more specific and help policyholders understand why the answers matter.

Understanding incidents and available evidence

For loss adjusters, an incident may require several connected questions to be answered.

  • What started the process?
  • Which information influenced the result?
  • Was approval required?
  • When was the problem discovered?
  • What happened afterwards?

I explain the records that may help establish that sequence and the limits of what those records show. A saved output may reveal what was produced while leaving its sources or approval history unclear. A current setting may differ from the one in force when the incident occurred.

Connecting benefits with business resilience

AI can improve response times and reduce routine work. It can also become part of a process the business depends on. Understanding that dependency matters when considering how work would continue after an error, service failure or loss of access.

My writing makes these relationships accessible to readers who need to assess the business consequences without becoming AI specialists.

Contact me about an explanation for your underwriting, claims or policyholder audience.