Artificial intelligence is making its way into insurance agencies, but adoption remains uneven, according to new research from Liberty Mutual.
The 2025 Independent Agents at Work Study, which surveyed more than 1,200 independent agency leaders and staff, suggests that while interest in AI is growing, many remain cautious about its role in day-to-day operations.
More than half of agency employees expressed interest in using AI at work, and over one-third reported already integrating AI tools into their activities. Yet, despite this growing familiarity, overall attitudes toward AI have not shifted dramatically. Skepticism persists, particularly among older staff, while younger employees and agency leaders show stronger enthusiasm for experimentation, according to the report.
For agency leadership, the study points to three clear priorities. The first is the creation of an AI policy. Even in organizations that have not formally adopted AI, employees may already be using outside tools, raising concerns around risk and data security. A policy helps set boundaries and ensures client information is protected.
The second recommendation is to start with practical needs rather than chasing hype. With new tools emerging constantly, the report advises agencies to focus on real operational challenges. Leaders are encouraged to first explore whether their existing management systems already include AI features before bringing in new vendors.
The third focus is on employee engagement. While leaders may be quick to see the potential of AI, staff members may remain uncertain or wary. The study highlighted the importance of positioning AI as a support tool rather than a replacement, and of involving employees in the selection and implementation process. Training and ongoing communication are seen as essential to helping staff adopt AI with confidence.
For agency staff themselves, the study recommends learning the basics of AI and experimenting with tools like ChatGPT or Copilot to see how they can reduce repetitive tasks. Curiosity, the report suggests, often leads to efficiency gains. It also encourages open dialogue between staff and leadership, both to clarify expectations around AI use and to raise concerns about its risks.
The findings also point to broader implications for the insurance market. As agencies adopt AI at different speeds, the divide between early adopters and more traditional firms could widen. Those who embed AI effectively may gain an edge in client servicing, particularly through faster quoting, personalised policy recommendations, and more efficient claims support. Carriers, meanwhile, will face pressure to ensure their agency partners have access to AI-enabled systems and that workflows remain aligned across distribution channels.
At the same time, regulators and industry groups are likely to take a closer look at how AI is used in underwriting, pricing and client interactions. Questions around transparency, data use and potential bias will continue to shape the regulatory debate, influencing how quickly agencies and carriers can deploy advanced tools.
