2026-10-06 · Source: Insurance Thought Leadership
Summary in 3 Points • Chief claims officers must transform their departments into AI-native operations to avoid becoming bottlenecks in enterprise transformation. • Morgan & Morgan has invested roughly $300 million in technology and AI, with plans for at least $1 billion more. • AI-native insurers like Corgi are building businesses without legacy technology, posing a threat to traditional carriers. --- Chief claims officers are facing a significant transformation as they must evolve their departments into AI-native operations. This shift is crucial to prevent becoming bottlenecks in enterprise transformation, as AI is reshaping the insurance landscape into an information-driven business. Companies like Morgan & Morgan are heavily investing in technology, with plans to allocate at least $1 billion more over the next decade, which highlights the competitive pressure on traditional insurers to innovate and adapt. The emergence of AI-native insurers, such as Corgi, poses a dual threat to legacy carriers, who are being out-innovated by the plaintiff bar and out-architected by these new entrants. As claims processes become increasingly industrialised, the role of the chief claims officer will evolve to focus on building institutional capabilities that leverage both human expertise and machine intelligence. This transformation is essential for maintaining competitiveness in a rapidly changing market. The shift towards AI-native claims operations is critical for insurers to remain competitive against technologically advanced plaintiff firms and new entrants.
The shift towards AI-native claims operations is critical for insurers to remain competitive against technologically advanced plaintiff firms and new entrants.