By now, you’ve heard me say it: AI is not just a trend—it’s a tidal wave. And it’s not ten years away. It’s here, it’s building momentum, and it’s already reshaping the insurance industry at the agent and agency level.
The last post I shared was a wake-up call direct from AIs mouth. It laid out how AI could disrupt commissions, replace staff, and even push agents out of the transaction entirely. It wasn’t pretty, but it was necessary.
In this article, I want to pivot. Instead of focusing on the threat, let’s talk about the opportunity. Because while AI is going to reduce the need for a lot of the “old way” of doing business, it’s also going to give smart agents and agencies tools that previous generations would’ve killed for. If you’re willing to evolve, the next decade can be the most profitable and impactful of your career.
Here’s how.
The worst thing you can do is bury your head in the sand and hope this blows over. It won’t. Just like Amazon reshaped retail and Uber reshaped transportation, AI is going to reshape insurance.
You need to make peace with that reality now. Because once you accept it, you can stop resisting and start asking better questions:
How do I integrate AI into my agency?
How can AI reduce my expenses?
How can I use AI to make my clients’ lives easier?
Where can I provide value on top of what AI delivers?
This mindset shift—from “threat” to “tool”—is the foundation.
One of AI’s biggest advantages is that it can free you and your team from the mountain of repetitive, low-value tasks that suck up time and energy.
Quoting & Proposals: Let AI generate comparison quotes, highlight coverage gaps, and even create client-facing explanations in plain English.
Customer Service: Chatbots and virtual assistants can handle routine requests like ID cards, billing questions, and policy changes 24/7.
Marketing: AI tools can draft social posts, nurture campaigns, and prospecting emails while you focus on higher-value conversations.
Data Entry: Say goodbye to retyping VIN numbers and policy details. AI can capture, verify, and sync that data for you.
If you’re an agency owner, this means you can run leaner and more efficient. If you’re an agency employee, it means you’ll spend less time on grunt work and more time on meaningful interactions.
AI is going to commoditize the easy stuff—personal auto, renters, cookie-cutter small commercial. That’s where it shines: fast, standardized, predictable.
So where does that leave you?
It leaves you with the complex, messy, relationship-driven risks that AI can’t handle as well. Things like:
Contractors with mixed fleets and seasonal workers.
Restaurants with liquor liability, multiple locations, and unique exposures.
High-net-worth families with homes in different states and toys that don’t fit into neat boxes.
Niche industries where knowledge and experience matter as much as the coverage.
Specialization is your moat. If you become the go-to expert in a particular niche or community, you’re not just competing with AI—you’re using it as leverage while still providing value it can’t replicate.
Let’s be real. People don’t build loyalty to chatbots. They don’t invite AI to their kids’ games, or call it when their roof caves in during a storm. They call you.
This is your advantage. In a world where machines handle transactions, the human side of insurance becomes more valuable, not less.
Be visible in your community. Sponsor events, network, and show up where your clients are.
Invest in client experience—handwritten notes, personal check-ins, and actual human follow-ups.
Position yourself as an advocate, not just a salesperson. Clients should know that when the carrier drops the ball, you’re the one fighting for them.
AI will make things faster. You need to make them personal.
Agency owners—this is where it gets interesting. AI doesn’t just change the work you do, it changes how you design your business.
Smaller Teams: You may not need five CSRs to handle endorsements. Two empowered humans with AI tools could do the job better.
Lower Overhead: Less staff means fewer salaries, benefits, and office headaches. That frees up capital for growth and marketing.
Higher Margins: If you integrate AI properly, your expense ratio improves, which means you keep more of every commission dollar.
New Roles: Instead of hiring for data entry or filing, you’ll hire for relationship management, client experience, and risk advisory.
This is a chance to rebuild your agency into a lean, profitable, future-proof operation.
AI isn’t “set it and forget it.” You’ll need to invest time in learning how to use it effectively. That means:
Training staff on AI-powered quoting, CRM, and AMS tools.
Teaching producers how to use AI for research, outreach, and client education.
Staying curious about new applications in underwriting, claims, and marketing.
Remember: the agents who get left behind won’t be the ones who tried and failed—it’ll be the ones who never tried at all.
Here’s a realistic timeline BY MY ACCOUNT - different than what ChatGPT believed wheb having the same conversation:
Next 2–3 Years: Agencies integrate AI for efficiency. Staff roles shrink, but profit margins improve. Agents who resist start falling behind.
3–5 Years: Consumer adoption of AI service accelerates. Carriers test new commission models. Specialized agents thrive, while generalists struggle.
5–10 Years: Agencies that evolve become lean, efficient, and profitable. Agents who fail to adapt are either acquired or out of business.
The story of AI in insurance is not just about disruption—it’s about evolution. Yes, it’s going to take over huge chunks of what we do. Yes, it’s going to pressure commissions. But it’s also going to give forward-thinking agents and agencies a chance to reinvent themselves into stronger, smarter, more profitable businesses.
The choice is yours. You can cling to the old way and watch your role erode, or you can embrace the change, leverage the tools, and position yourself as the kind of agent AI will never replace.
The future doesn’t belong to the biggest agencies or the ones with the deepest pockets. It belongs to the most adaptable.
And if you’re willing to adapt, the next ten years aren’t something to fear—they’re something to get excited about.