In the not-so-distant future, your insurance policy could adapt to your life without you having to lift a finger. No more waiting for a renewal or worrying about outdated coverage.
By 2028, it’s projected that 33% of enterprise applications will incorporate agentic AI, allowing 15% of daily decisions to be made autonomously. In simple terms, this means insurance could become as dynamic as your life, constantly adjusting to your unique needs and behaviors. With agentic AI, insurance is no longer a static product.
It’s a constantly evolving service that’s tailored just for you.
What Is Agentic AI?
Agentic AI is a type of artificial intelligence that goes beyond providing suggestions or analyzing data. It acts on behalf of users, making decisions and taking actions without requiring constant human oversight.
In insurance, this means AI systems can analyze a customer’s unique circumstances, preferences, and risks to craft continuously evolving coverage (what we call agentic AI policy recommendations) that update in response to real-world data.
Tailoring Policies to Fit the Person, Not the Group
The insurance industry has long been criticized for offering one-size-fits-all policies that fail to reflect the unique needs of individual customers.
Traditionally, insurers determine premiums based on broad risk categories like age, location, health, and lifestyle. However, these general metrics can leave coverage gaps or charge individuals for services they don’t need.
It's more accurate than blanket policies for everyone, but it's not personalized enough to capture the full complexity of individual risk profiles or changing life circumstances. With agentic AI, this problem begins to fade away.
For example, consider a car insurance policy. Rather than charging a blanket premium based on age and driving record, an agentic AI system could continuously assess a person’s driving habits, adjusting rates in real-time based on their behavior. If a customer drives more cautiously, the system could lower their premiums.
If the system detects risky driving patterns, the policy would adjust accordingly. Essentially, coverage always reflects the true level of risk.
And that's just car insurance. Agentic AI can do the same for home, cyber, and travel insurance, and more.
Faster Claims Processing
Traditional claims processing can be a slow and frustrating experience for policyholders. From filing the claim to waiting for approval, the process often drags on for days or even weeks. But agentic AI speeds up claims decisions. It processes vast amounts of data in real time, enabling faster and more accurate evaluations.
For example, if a car accident occurs, the AI can immediately assess the damage through uploaded photos and determine the necessary payout based on pre-established criteria. This reduces the need for human adjusters, cutting down wait times and ensuring that claims are settled quickly.
Real-Time Personalization
Agentic AI shifts insurance from static policies to dynamic, personalized coverage. It adjusts in real-time based on changes in a person’s health, lifestyle, or life events. For instance, if someone’s health improves, AI can reduce their premiums.
If they take up a high-risk activity, like skydiving, the system automatically adjusts their policy to reflect the increased risk. These real-time adjustments are powered by agentic AI policy recommendations, which ensure that every change in behavior or context results in smarter, more relevant coverage.
Reducing Risk and Increasing Efficiency
When policies are personalized and dynamically adjusted based on real-time data, both insurers and customers benefit. Risk is priced more accurately, reducing the need for broad risk buffers and lowering overall premium costs. Insurers see fewer claims from mispriced high-risk customers and less churn from overcharged low-risk ones.
Real-time monitoring also enhances fraud detection because suspicious patterns can be flagged immediately, reducing false claims and speeding up legitimate ones. Operational efficiency improves as well, with automated adjustments minimizing the need for manual underwriting or intervention.
Over time, agentic AI creates a more responsive, lower-risk insurance ecosystem that rewards prevention, detects anomalies early, and adapts to change.
A Step Toward the Future of Insurance
At BP3 Global, we help insurance companies implement agentic AI to make smarter, real-time decisions. Our solutions streamline operations, improve risk management, and enable truly personalized policies. With our expertise, insurers can adapt quickly to customer needs, build stronger relationships, and stay competitive in a changing market.
As agentic AI evolves, we ensure your business leverages it effectively, offering more tailored, efficient coverage for every customer. Ready to transform your insurance offerings with agentic AI? Contact us today to get started.