Insurance Profitability Underwriting and Claims Modernization

What EY can do for you 

We help insurers modernize underwriting by designing integrated digital platforms, embedding AI-powered decision support, including advanced techniques like neurosymbolic AI and streamlining submissions. We improve broker experience through integrated portals and real-time collaboration tools. Our services include underwriting governance design, risk appetite calibration, model validation and portfolio optimization, facilitating accuracy, speed and dynamic pricing adjustments for both P&C and L&H markets.

We offer claims transformation services focused on cost control, cycle time reduction and digital enablement. We improve customer experience through intuitive self-service portals, proactive communication and transparency tools. Our offerings include predictive severity modelling, fraud analytics, intelligent triage workflows and AI-driven claims decisioning. We also support insurers in re-architecting operating models and deploying low-code platforms for automation — helping both P&C and L&H carriers achieve operational resilience and profitability.

Profitability

In today’s volatile insurance landscape, achieving sustainable, profitable growth requires a multi-pronged approach that blends sophisticated risk selection, pricing precision, underwriting discipline, indemnity cost control and operational efficiency. With climate risks, cyber threats, cost inflation and margin pressure intensifying, the ability to deploy data, streamline operations and enhance decision-making through AI and other digital tools is more important than ever.

At the same time, market consolidation is accelerating as insurers pursue inorganic growth to achieve scale, alleviate expense burdens and optimize capital deployment. Those that embed strategic flexibility and advanced capabilities into core functions will be strongly positioned to seize new opportunities and generate sustainable long-term growth.

Commercial and underwriting

Challenges today’s insurers are facing

Underwriting teams across property and casualty (P&C) and life and health (L&H) are under pressure to manage heightened risk volatility, complex regulatory requirements and evolving customer expectations — all while maintaining pricing sophistication and speed-to-market.

Legacy systems, fragmented data and inconsistent governance hinder operational efficiency and broker collaboration. These challenges make it harder to deliver competitive products, enforce underwriting discipline and sustain profitability in a rapidly changing environment.

Industry trends and outlook

EY’s global industry outlook for 2025 shows a shift towards underwriting transformation through centralized digital workbenches, dynamic portfolio management and predictive pricing models. Leading insurers are embedding AI into submission triage, improving risk segmentation and scaling automation for faster turnaround and improved governance.

As market softening increases, pricing sophistication and underwriting discipline become critical. Expect further adoption of parametric products, virtual captives and tech-enabled distribution.

How we can help you

We help insurers modernize underwriting by designing integrated digital platforms, embedding AI-powered decision support, including advanced techniques like neurosymbolic AI and streamlining submissions. We improve broker experience through integrated portals and real-time collaboration tools. Our services include underwriting governance design, risk appetite calibration, model validation and portfolio optimization, facilitating accuracy, speed and dynamic pricing adjustments for both P&C and L&H markets.

Claims

Challenges today’s insurers are facing

In the P&C market, claims costs are escalating due to climate-driven natural disasters, rising repair costs and increasing fraud risk. These pressures are compounded by operational inefficiencies, inconsistent triage and fragmented systems that lead to reserve volatility and slower settlements.

On the L&H side, demographic shifts — such as aging populations and longer life expectancy — are straining mortality and morbidity assumptions. Group benefits carriers face mounting health care costs, disability claims and demand for faster, more transparent servicing. Across both segments, meeting customer expectations for digital engagement while reducing loss adjustment expenses remains a critical challenge for claims leaders.

Industry trends and outlook

Insurers are futureproofing claims by investing in end-to-end digitization, predictive analytics for triage and severity modelling and deploying generative AI to automate key functions. P&C carriers are integrating real-time weather and sensor data for proactive loss mitigation, while L&H insurers employ automation for faster adjudication and improved customer engagement. The trend is towards claims operations that blend automation with professional judgment for efficiency and satisfaction.

How we can help you

We offer claims transformation services focused on cost control, cycle time reduction and digital enablement. We improve customer experience through intuitive self-service portals, proactive communication and transparency tools. Our offerings include predictive severity modelling, fraud analytics, intelligent triage workflows and AI-driven claims decisioning. We also support insurers in re-architecting operating models and deploying low-code platforms for automation — helping both P&C and L&H carriers achieve operational resilience and profitability.