AI Surpasses Inflation as Top Concern for Global Insurance Leaders in 2025

Artificial intelligence has taken center stage in the insurance industry’s global agenda, according to the 2025 Global Priorities Survey by the International Insurance Society (IIS). Two-thirds of the nearly 20,000 insurance executives surveyed identified AI as their top technology and innovation priority, signaling a major shift in focus from previous years when inflation led concerns. The findings highlight how digital transformation is now seen as essential for maintaining competitiveness and managing risk.

Executives emphasize AI’s ability to enhance operational efficiency, streamline processes, improve forecasting, and drive product development. With analytics capabilities improving rapidly, insurers are leveraging AI to better understand trends and anticipate emerging risks. As one executive put it, this technology empowers firms to make more informed strategic decisions and ultimately improve business outcomes.

Beyond AI, the broader role of technology continues to grow. Over 40% of respondents now view tech advancement as a leading social and environmental issue — a significant jump from just 12% in 2021. This reflects growing interest in tools such as machine learning, automation, and advanced cybersecurity to meet both internal operational goals and external stakeholder expectations.

Despite the focus on AI, traditional challenges remain prominent. Inflation remains the top economic concern for the fourth year running, while climate risk continues to dominate social and environmental priorities. Workforce issues, though growing — particularly with concerns about an aging labor force — remain secondary for most insurance leaders in 2025.