Wipro Limited

Wipro: AI to Transform U.S. Insurance Industry by 2030

June 12, 2025 - Wipro’s latest report, “The AI Advantage: Building Tomorrow’s Insurance Enterprise,” reveals U.S. insurers plan to more than double their AI investments over the next 3–5 years, growing AI’s share of IT budgets from 8% to 20%. In a survey of 100 U.S. insurance leaders (firms with $500M+ revenue), 81% said they will increase AI spending within a year, and 92% see AI as vital for competitive customer experience and personalization. Larger firms are leading adoption, while mid-sized and smaller insurers struggle with legacy systems and limited expertise.

Underwriting is a key AI focus, with expectations of improved risk assessment, compliance, and customer satisfaction. Yet, only 46% have extensively implemented AI in underwriting workflows. Challenges include integrating AI with legacy systems (cited by 71%), risks of bias, and lack of formal AI policies (noted in 44% of smaller firms).

To address these hurdles, insurers are prioritizing phased AI rollouts, cross-department collaboration, and workforce upskilling. Wipro stresses that AI is no longer optional but foundational for success, urging firms to build strong governance and technical foundations to scale AI adoption effectively.

Source: https://www.wipro.com/newsroom/press-releases/2025/us-insurers-to-more-than-double-ai-investment-in-the-next-3-5-years-wipro-report/