Artificial Intelligence (AI) In Insurance Claims Processing Market Report 2026

Artificial Intelligence (AI) In Insurance Claims Processing Market Overview

• Artificial Intelligence (AI) In Insurance Claims Processing market size has reached to $0.46 billion in 2025 • Expected to grow to $0.97 billion in 2030 at a compound annual growth rate (CAGR) of 16.2% • Growth Driver: Rising Demand for Personalized Claims Assistance Fueling Market Growth Due To AI-Driven Customer Support • Market Trend: Artificial Intelligence (AI) Driven Automation Revolutionizing Insurance Claims Processing • North America was the largest region in 2025.

What Is Covered Under Artificial Intelligence (AI) In Insurance Claims Processing Market?

Artificial intelligence (AI) in insurance claims processing refers to the use of machine learning, natural language processing, and other AI technologies to automate and optimize the evaluation, validation, and settlement of insurance claims. AI systems can analyze large amounts of data, detect fraud, assess damages, and expedite decision-making, improving accuracy, reducing processing times, and enhancing customer experiences in the claims process. The main offerings of artificial intelligence (AI) in insurance claims processing are software and services. AI software in insurance claims processing includes machine learning algorithms, natural language processing, and predictive analytics tools that automate claim assessments, fraud detection, and policyholder interactions. It is deployed through both on-premise and cloud models, utilizing technologies such as machine learning, natural language processing, computer vision, and others. It serves enterprises, including large enterprises and small and medium-sized enterprises (SMEs), and is used by end users such as life and health insurance and property and casualty insurance companies.

What Is The Artificial Intelligence (AI) In Insurance Claims Processing Market Growth Forecast?

The artificial intelligence (AI) in insurance claims processing market size is expected to see rapid growth in the next few years. It will grow to $0.97 billion in 2030 at a compound annual growth rate (CAGR) of 16.2%. The growth in the forecast period can be attributed to integration of computer vision in claims, expansion of AI driven fraud prevention, demand for real time claim resolution, growth of digital insurance platforms, increasing customer experience focus. Major trends in the forecast period include automated claims assessment, AI based fraud detection, intelligent damage estimation, straight through claims processing, customer centric claims automation.

Global Artificial Intelligence (AI) In Insurance Claims Processing Market Segmentation

1) By Offering: Software, Services 2) By Deployment Model: On-Premise, Cloud 3) By Technology: Machine Learning, Natural Language Processing, Computer Vision, Other Technologies 4) By Enterprise Size: Large Enterprises, Small And Medium-Sized Enterprises (SMEs) 5) By End-User: Life And Health Insurance, Property And Casualty Insurance Subsegments: 1) By Software: AI-Based Underwriting Software, Fraud Detection Software, Claims Processing Software, Customer Engagement Platforms 2) By Services: Managed Services, Professional Services, Consulting Services, Support And Maintenance

What Is The Driver Of The Artificial Intelligence (AI) In Insurance Claims Processing Market?

The rising demand for personalized claims assistance is expected to propel the growth of artificial intelligence (AI) in the insurance claims processing market going forward. Personalized claims assistance refers to artificial intelligence (AI) driven solutions that provide tailored support, real-time claim tracking, and automated recommendations based on policyholder needs. The demand for personalized claims assistance is rising as policyholders expect faster, more customized support. Insurers are increasingly focusing on enhancing customer experience through tailored communication and service. AI enhances personalized claims assistance by enabling faster processing, accurate assessments, proactive updates, and tailored customer support through data-driven automation. For instance, in October 2024, according to Higson, a Poland-based insurance tech company, personalization in insurance drives a 10–15% revenue boost and up to 20% higher customer retention, with 95% of customers willing to share data and 88% seeking tailored services. Therefore, the growing demand for personalized claims assistance is fueling the adoption of artificial intelligence (A)I in insurance claims processing market.

Key Players In The Global Artificial Intelligence (AI) In Insurance Claims Processing Market

Major companies operating in the artificial intelligence (AI) in insurance claims processing market are ICICI Lombard General Insurance Company Ltd, CCC Intelligent Solutions Inc., Quantiphi, Sapiens International, Blue Prism Limited, ScienceSoft USA Corporation, Harbinger Group, Newgen Software Technologies Limited, Vlink Inc., LeewayHertz, Astera Software, Damco Group, Ravin AI Ltd., ZestyAI, Tractable Ltd., Sprout.ai, CLARA Analytics Inc., V7 Ltd., Alula Technologies Ltd., SimplifAI Systems Limited, Perceptiviti Data Solutions Private Limited.

Global Artificial Intelligence (AI) In Insurance Claims Processing Market Trends and Insights

Major companies operating in the artificial intelligence (AI) insurance claims processing market are increasing their focus on developing innovative solutions, such as agentic artificial intelligence automation, to enhance efficiency and improve accuracy in claims assessment. Agentic artificial intelligence automation refers to AI systems that act autonomously with a degree of decision-making capability, performing tasks or initiating actions without constant human oversight. For instance, in February 2025, Simplifai, a Norway-based artificial intelligence (AI) solutions provider, introduced agentic artificial intelligence (AI), a cutting-edge automation platform aimed at streamlining claims processing, underwriting, and customer service. This AI-powered solution empowers insurers to boost operational efficiency, enhance accuracy, and deliver seamless customer experiences, all while reducing claim settlement times and minimizing administrative workloads.

What Are Latest Mergers And Acquisitions In The Artificial Intelligence (AI) In Insurance Claims Processing Market?

In February 2025, Xceedance, a US-based insurance consulting and managed services company, acquired CIS Claim Services for an undisclosed amount. The acquisition is intended to strengthen Xceedance's claims platform by integrating alternative dispute resolution (ADR) capabilities and broadening its network of independent adjusters. Through the use of artificial intelligence (AI)-powered solutions, Xceedance aims to accelerate claims processing and enhance operational efficiency for insurers and managing general agents (MGAs). CIS Claim Services is a US-based claims management company that specializes in property claims appraisal, field adjusting, and litigated claims management.

Regional Insights

North America was the largest region in the artificial intelligence (AI) in insurance claims processing market in 2025. The regions covered in this market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Artificial Intelligence (AI) In Insurance Claims Processing Market?

The artificial intelligence (AI) in insurance claims processing market consists of revenues earned by entities by providing services such as automated claims assessment, predictive analytics, fraud detection algorithms, natural language processing (NLP)-based chatbots, and machine learning-driven decision support systems. The market value includes the value of related goods sold by the service provider or included within the service offering. The AI in insurance claims processing market also includes sales of AI-integrated data servers, cloud computing infrastructure, and cybersecurity solutions. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified). The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What Key Data and Analysis Are Included in the Artificial Intelligence (AI) In Insurance Claims Processing Market Report 2026?

The artificial intelligence (ai) in insurance claims processing market research report is one of a series of new reports from The Business Research Company that provides market statistics, including industry global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence (ai) in insurance claims processing industry. The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.