Jefferies: Artificial intelligence is unlikely to disrupt commercial property and casualty insurance brokers and accident insurance brokers

LootboxPhobia · 2026-03-09T22:41:46+00:00

J.P. Morgan analysts believe that the substitutive role of artificial intelligence in commercial property and casualty insurance and accident insurance is limited, and it is more about improving efficiency rather than disrupting revenue. While AI can enhance underwriting capabilities, increased competition may weaken its advantages, and concerns about brokers being disrupted are exaggerated.

LootboxPhobia

2026-03-09 22:41:46

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Investing.com – Jefferies analysts say artificial intelligence is unlikely to replace commercial property and casualty insurance brokers outside the micro, small, and mid-market segments, according to a research report.

The firm states that business complexity, consulting services, and data gaps provide protection for mid-to-high-end markets, large enterprises, specialized insurance lines, and reinsurance brokerage businesses.

Jefferies believes that in the short term, AI will serve more as a tool to improve efficiency rather than a revenue disruptor. The company states that adopting AI could enhance underwriting capabilities.

However, Jefferies notes that as AI tools are more widely adopted across the industry, any competitive advantages in loss ratios may gradually diminish.

The firm states that concerns about brokers being disrupted in the commercial property and casualty insurance sector are overstated for most brokers covered.

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