Guidewire's latest survey has found that UK insurance customers are showing greater comfort with the use of artificial intelligence in the sector as familiarity with the technology increases.
The 2025 Guidewire European Insurance Consumer Survey, which collected feedback from 1,000 UK insurance customers, indicates a shift in attitudes toward the application of AI and automation in insurance processes.
According to the research, regular daily use of AI among UK insurance customers has risen, with 10 percent now using AI daily—up from 5 percent last year. The proportion of those who use AI tools a few times a week has increased from 6 percent to 16 percent.
The data also shows that customers familiar with AI are increasingly accepting of insurance-related decisions being made by AI without human intervention. This proportion has risen substantially from 21 percent last year to 34 percent in the current survey.
Despite this increased comfort, overall engagement with AI in insurance has declined. The percentage of customers who have used AI at least once in their insurance experience stands at 55 percent, down 15 percentage points from last year's figures.
Sentiment regarding confidence in insurers' use of AI remains mixed. A minority—9 percent—express confidence in how insurers are currently implementing AI, while 34 percent say that nothing would increase their confidence in the use of the technology by insurers.
Customer expectations are clear on the continued need for human oversight. More than a third—34 percent—expect insurers that use AI in customer interactions to make it possible for customers to refer to a human operator if they disagree with the AI's decisions.
Independent regulation is highlighted as a potential means to improve trust: 26 percent of respondents say independent oversight or regulation of AI use in insurance would help increase their confidence in the technology.
Charles Clarke, Group Vice President at Guidewire, said: "AI is set to revolutionise the way insurance companies operate, enabling them to improve customer experiences, increase automation and enhance security.
"As more customers integrate AI into their daily routine, it is encouraging to see a growing confidence towards its use in the insurance sector, underscored by the demand for human oversight and regulation. While the industry continues to evolve and leverage advanced technologies to innovate, maintaining ethical standards and transparency in AI use will be crucial in enhancing customer acceptance and eliminating the trust gap."
Chris Payne, EMEA Insurance Technology Leader at EY, commented: "Insurers are increasingly investing in AI, but adoption remains relatively low and maturity of implementation has some distance to go. Consumer trust needs to rise further if AI in insurance is to reach the next level, as human intervention at points of query or claims remains very much the customer expectation."
The findings are based on responses from consumers who have recently bought or renewed a general insurance policy or made a claim in the last twelve months. The study is part of an ongoing annual series which began in 2020, with Guidewire seeking to understand trends in consumer sentiment and the impact of emerging technologies on insurance services in the UK and across Europe.
