hyperexponential reveals AI use in insurance is booming — but governance is lagging
New data from insurtech provider hyperexponential shows 95% of UK insurers and 89% of US insurers now use AI for data ingestion. The study surveyed 350 underwriting, actuarial, and IT professionals across Specialty and Commercial insurance markets in the UK and US.
The issue starts with strategy. 41% of respondents say their company has no dedicated AI lead, causing disjointed efforts across teams and markets. 
Governance is shaky, especially in the UK — only 18% say their AI oversight is well-established and clear. US insurers fare better with 45% reporting advanced governance processes.
But even with better frameworks, shadow AI runs rampant. Over 90% of US insurers report staff using unapproved AI tools, pointing to a gap between official strategy and everyday use.
This disconnect risks duplication, missed benefits, and uncoordinated AI rollout.
Amrit Santhirasenan, CEO of hyperexponential, stated:
It’s encouraging to see insurers embedding AI into their operations, especially around data ingestion, which is a vital step towards truly intelligent automation. However, implementation without thoughtful, proportional oversight creates risk. Without a clear strategy that links experimentation with long-term goals, organisations could end up repeating work or missing out on the full benefits of AI.
The message is clear – AI is not just a technological opportunity and challenge. It’s a leadership, governance, and cultural challenge, and the insurers who succeed will be those who treat it as a company-wide objective, not just a department-led experiment.
The findings highlight a split: AI adoption is fast, but smart management and governance trail behind — especially in the UK. Insurers now face pressure to align enthusiasm with clear, company-wide AI leadership.
