2026-07-24 · Source: Insurance Business UK
Summary in 3 Points • Over 60% of UK respondents have not seen a mental health professional in the past year • 46% of UK respondents use AI for mental health support, below the global average • The House of Commons Treasury Committee criticised UK regulators for AI oversight failures --- AXA has issued a warning that artificial intelligence (AI) should not be seen as a replacement for traditional mental health care, as the UK faces a mental health crisis. The concern arises as nearly half of Britons are reportedly turning to AI for support with their mental health issues. This trend raises questions about the adequacy of AI in providing genuine care and support, especially as many people avoid seeking professional help due to stigma and long NHS wait times. For the London Insurance Market, the increasing use of AI for mental health support has direct implications for group risk and protection claims. Insurers may need to reassess their policies and coverage options, considering the potential rise in claims related to mental health issues. Additionally, the Financial Conduct Authority (FCA) is likely to scrutinise how vulnerable customers are being managed, ensuring that AI tools do not compromise the quality of care or lead to unfair treatment of policyholders. Underwriters, brokers, and risk managers must carefully evaluate the impact of AI on mental health support services. They should consider the potential risks associated with relying on AI for sensitive areas such as mental health, where human empathy and understanding are crucial. It is essential to balance technological advancements with the need for comprehensive care, ensuring that AI is utilised as a complementary tool rather than a substitute. This approach will help maintain the integrity of mental health support services and protect the interests of vulnerable customers.
For the London Insurance Market, the increasing use of AI for mental health support has direct implications for group risk and protection claims. Insurers may need to reassess their policies and coverage options, considering the potential rise in claims related to mental health issues. Additionally, the Financial Conduct Authority (FCA) is likely to scrutinise how vulnerable customers are being managed, ensuring that AI tools do not compromise the quality of care or lead to unfair treatment of policyholders.