AI in Claims Handling Under Scrutiny, But Florida Insurers Say Laws Already Provide Oversight

Florida lawmakers are revisiting artificial intelligence (AI) in insurance as pressure mounts to regulate its role in claims decisions. During a House Subcommittee hearing, representatives from top insurance associations emphasized that existing state statutes already govern all insurer actions, including those involving AI. This assertion counters growing concerns from policyholder advocates who argue that AI tools can lead to wrongful denials and a lack of transparency.

For claims adjusters, this debate is particularly relevant. AI tools are already streamlining tasks like damage assessment, fraud detection, and initial claim triage. However, critics fear these efficiencies might compromise fairness without proper human oversight. The failure of three proposed bills in early 2025, which would have required human review of AI-influenced decisions, hasn’t stopped legislators from signaling a renewed push in the upcoming 2026 session.

Adjusters should pay close attention to any proposed changes, as Florida’s regulatory posture could impact day-to-day workflows and reporting practices. With ongoing scrutiny, especially in cases where AI could be tied to denials or coverage limitations, understanding accountability lines—such as requirements for naming responsible parties in adjuster reports—is key. The industry is aiming to show that AI, when used properly, aligns with longstanding regulations that ultimately hold insurers, not algorithms, accountable.