Income Insurance Australia

... helping Australians to secure a prosperous future

Income Insurance Australia :: News

Share this news item!

Insurers Eye AI for a Technological Future

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The insurance sector is gearing up for a significant technological transformation with plans to integrate artificial intelligence (AI) extensively in the coming years.

A survey conducted by Earnix highlights that over two-thirds of insurance companies are planning to deploy AI tools within the next two years.

This trend marks a pivotal moment in the industry's journey toward modernization.

The survey garnered responses from 431 insurance executives spanning Australia, Europe, the UK, the US, and Canada. It reveals a dramatic escalation in the anticipated role of AI. "Insurers reported that they expected the impact of AI to nearly double from the last year to the current year, and then more than triple in the year ahead," noted Earnix. The survey indicates a staggering near six-fold increase in industry leaders' belief in AI's business impact over a three-year period.

Currently, less than a third of these insurance firms actively utilize AI models capable of real-time predictive analysis. Most companies rely on analytics primarily for validation rather than for making optimal decisions, which underscores a gap in leveraging technology fully. Earnix finds that many insurers continue to depend on outdated systems, potentially hindering their ability to keep pace with evolving technologies.

Another key insight from the Earnix survey is that nearly 50% of insurers acknowledge being behind on their modernization goals. This lag could prove challenging in adopting breakthrough technologies, especially those linked to AI, advanced analytics, pricing, and underwriting frameworks.

Despite these hurdles, there is a marked intent across the industry to invest more heavily in AI-driven innovations. Many respondents have highlighted increased spending on regulatory compliance tools compared to the previous year. In particular, 68% of insurers in Europe and Australia reported heightened investments in this area. "Insurers in Europe and Australia may have a slight head start when it comes to implementing new technology to help with compliance," the Earnix report stated.

Looking forward, the industry acknowledges being at least two years away from realizing their full AI and analytics potential. However, this sets a clear trajectory for insurers to follow as they navigate the complexities of modern technology adaptation.

This article is based on findings from Earnix as detailed in a recent report.

Published:Tuesday, 12th Nov 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Australian Insurers Adapt Investment Strategies in Response to Geopolitical Shifts

07 Mar 2026: Paige Estritori

Australian insurers are actively revising their investment portfolios in response to evolving geopolitical events and economic conditions. According to the 2025 Australian Insurance Report by Janus Henderson Investors, 47% of insurers plan to increase their investment portfolio risk over the next 12 months, with a significant focus on private markets. - read more

AFCA Upholds Policyholder Rights in Income Protection Case

27 Feb 2026: Paige Estritori

In June 2025, the Australian Financial Complaints Authority (AFCA) ruled in favour of a policyholder in a dispute over the duration of income protection payments. The case involved Resolution Life Australasia and centred on the insurer's decision to cease payments earlier than the policyholder expected. - read more

Swiss Re Advocates for Sustainable TPD Insurance Amid Rising Claims

27 Feb 2026: Paige Estritori

In October 2025, Swiss Re, a leading global reinsurer, announced a temporary halt on accepting new life insurance business in Australia. This decision aims to address concerns over the sustainability of Total and Permanent Disability (TPD) products in the market. - read more

Rising Mental Health Claims Impact Australia's Income Protection Insurance

19 Feb 2026: Paige Estritori

Recent data from the Council of Australian Life Insurers (CALI) reveals a significant increase in mental health-related claims within Australia's income protection insurance sector. In 2024, mental health conditions accounted for 20% of income protection claims, resulting in payouts totaling $887 million. This marks a substantial rise compared to previous years, indicating a growing trend that insurers and policyholders must address. - read more

Australian Super Under Fire for Prolonged Insurance Claim Delays

19 Feb 2026: Paige Estritori

Australian Super, the nation's largest superannuation fund, is facing criticism over significant delays in processing insurance claims. Reports indicate that some members have experienced prolonged waiting periods, with delays extending up to four years in certain cases. These delays have raised concerns about the efficiency and fairness of the fund's claims handling processes. - read more

Click for more Insurance News

Life Insurance Articles

How Pre-Existing Conditions Affect Your Income Protection Insurance Options

Income protection insurance is a type of insurance policy designed to provide you with a continuous flow of income in case you are unable to work due to illness or injury. It's a safety net that helps ensure you can maintain your standard of living, even when unforeseen health issues arise. - read more

Why Every Australian Entrepreneur Needs Income Protection Insurance

Entrepreneurship in Australia - a landscape overview: The allure of entrepreneurship in Australia is undeniable, with the promise of innovation, personal autonomy, and potentially limitless earnings. However, the path of an entrepreneur is often unpaved and unpredictable. Without the safety nets traditionally provided by corporate employment, Australian entrepreneurs must proactively safeguard their personal finances against the capricious winds of business fortune. - read more

Income Protection Insurance vs. Total Permanent Disability: What’s the Difference?

When life throws unexpected challenges your way, being financially prepared can make all the difference. This is where Income Protection Insurance and Total Permanent Disability (TPD) Insurance come into play. These two types of insurance provide a crucial safety net, ensuring that you and your family remain financially stable even when you're unable to work due to illness or injury. - read more

Income Protection Insurance: Balancing Cost with Adequate Coverage

Income protection insurance is a critical safety net for anyone who relies on a steady paycheck to meet their financial obligations and maintain their lifestyle. It offers a replacement income if you are unable to work due to illness or injury, ensuring that your financial responsibilities can be met even when you're not at your earning best. In today's fast-paced world, income protection has become an essential consideration for the modern working individual. - read more

Illness and Your Finances: Strategies for Continuous Income Flow

When illness strikes, the impact on your finances can be as significant as on your health. Maintaining continuous income flow during such times is crucial for financial stability. - read more

Start Here !

Apply now for your free Insurance assessment and price comparisons!

This website is owned and operated by Clark Family Pty Ltd (ACN 010 281 008) as Trustee for the Clark Family Trust (ABN 35 957 893 714), 43 Larch Street Tallebudgera QLD 4228. Clark Family Pty Ltd is an Authorised Representative (AR 1298860) of Unique Group Broker Services Pty Ltd (AFSL 509434) for financial product referrals and an Authorised Credit Representative (ACR 401491) of Saccasan Pty Ltd (ACL 386297). Check our licensing details on the ASIC registers: Clark Family Pty Ltd ACR, Clark Family Pty Ltd AR, Saccasan Pty Ltd, Unique Group Broker Services.

IMPORTANT: We do not provide financial product advice or credit assistance. We act solely as an introducer and refer enquiries to licensed third-party intermediaries, insurers, and lenders - with whom you can then deal directly. We may receive a fee or commission from these third parties in consideration for the referral. Before any action is taken to obtain a product or service referred to by this website, advice should be obtained (from either the third party to whom we refer you or from another qualified intermediary) as to the appropriateness of obtaining those products having regard to your objectives, financial situation and needs. Whilst we have our own process for validating the legitimacy of our referral partners, you should always verify the credentials of your financial adviser before proceeding with recommendations that they may present. Visit the ASIC website for further information.