THE DIGITAL INSURER · AI, RISK & GOVERNANCE
Laws, rules, bulletins, guidance and supervisory statements on AI used by insurers; model risk governance.
Insuring AI riskRegulation and model governanceResearch
AI in Insurance
The Monetary Authority of Singapore (MAS) issued Guidelines on AI Risk Management that apply to all financial institutions and all forms of AI, and says firms remain accountable for AI that third parties develop, operate or provide. The guidelines take effect on 7 October 2027, with Sections 5 and 6 due by 7 October 2028.
Source: Monetary Authority of Singapore
AI in Insurance · In context
In a Eurofi magazine article published on 16 September, EIOPA argues that wider use of AI in finance increases dependence on a few outside providers, market concentration and cyber risk. It cites a 2025 survey in which 65% of 347 insurers in 25 EEA countries already used generative AI, and says rigorous implementation of DORA and the AI Act matters more than new AI rules.
Source: EIOPA
Candidates for insurance commissioner in four US states are citing AI risks and benefits ahead of the 3 November vote.
Vendor CEO asks who is accountable when an agentic AI system errs in a policy amendment that a customer then disputes.
NIBA research finds 91% of brokerages have engaged with AI, but most lack a formal governance policy.
Executives from Allianz, The Hartford and others say scaling AI requires data standards and guidance first.
ACORD's Chris Newman says insurers need confidence in underlying data as agentic AI moves into decision-making.
