2026-09-17 · Source: Insurance Journal
Summary in 3 Points • Morgan & Morgan plans to invest $1 billion in artificial intelligence and legal technology over the next decade • Kirkland & Ellis is committing $500 million to AI platform development, highlighting competition among law firms • AI platforms, while advanced, have led to sanctions due to inaccuracies in case citations --- Morgan & Morgan, the largest injury law firm in the United States, has announced a substantial investment of $1 billion in **artificial intelligence** and legal technology over the next ten years. The firm has already spent $300 million on its AI system, MX2, which it plans to market to other law firms. While Morgan & Morgan's use of AI in the courtroom is noted for its speed and scope, it has not always been effective in winning cases. The firm's AI capabilities include extracting medical information, generating case documents, and vetting jurors. However, inaccuracies have led to sanctions, such as a federal judge in Wyoming penalising the firm for citing nonexistent cases. For the **London Insurance Market**, the aggressive AI investments by firms like Morgan & Morgan and Kirkland & Ellis, which is spending $500 million on its AI platform, underscore the evolving role of **big data** and technology in legal proceedings. This development is particularly relevant for **insurance defence** lines, as AI-driven efficiencies could alter the dynamics of litigation costs and outcomes. The London Market, with its strong focus on **professional indemnity** and liability insurance, may need to reassess risk models and pricing strategies in response to these technological advancements. **Underwriters** and **brokers** should consider the implications of AI on legal costs and claims handling. As AI platforms become more prevalent, there is a potential for reduced litigation expenses, which could impact premium calculations and policy terms. However, the risk of AI inaccuracies, as seen with Morgan & Morgan's sanctions, also highlights the need for careful oversight and validation of AI-generated data. **Risk managers** should ensure that AI tools are used judiciously and that legal teams are trained to verify AI outputs to mitigate potential liabilities.