2026-08-12 · Source: Insurance Business UK
Summary in 3 Points • The Chartered Insurance Institute warns of an AI fluency gap in insurance • A report points to the need for training beyond basic AI tool use • UK regulators face criticism for insufficient AI risk management guidance --- The Chartered Insurance Institute (CII) has issued a warning about a significant gap in AI fluency within the insurance and personal finance sectors, which could hinder responsible AI adoption. Following a roundtable discussion, the CII's report, 'Responsible AI: from policy to practice', stresses the need for comprehensive training in AI governance, critical thinking, and professional scepticism. The report argues that without such training, firms may adopt AI driven by competitive pressure rather than clear purpose and professional judgement. The CII's concerns align with findings from a Grant Thornton survey, which revealed governance challenges and a lack of confidence in AI project success among insurance executives. The CII is advocating for practical AI policy frameworks and professional development to address these issues.
The CII's warning about the AI fluency gap is particularly relevant for the London insurance market, where AI deployment is advancing rapidly. Underwriters and brokers may need to reassess their reliance on AI-driven decisions, ensuring that staff are adequately trained to challenge and understand AI outputs. This could impact policy wording and pricing, as firms strive to balance operational efficiency with responsible AI use. Additionally, the lack of detailed regulatory guidance means that internal governance and professional judgement will play a crucial role in managing AI-related risks until formal regulations are established.