AI’s shift from hype to practical adoption gathers momentum, says hx CEO

Amrit Santhirasenan, CEO of hyperexponential, says AI is moving beyond hype into practical adoption, and in 2026, the winners will be insurers who invest intelligently in technology and modernise their infrastructure to unlock value.

Santhirasenan noted that AI offers insurers a genuine opportunity to achieve both efficiency and profitability gains, driving “in-production” results faster than any technology in history. He added that recent industry findings show that transformation is already in motion, but the real challenge is how effectively insurers can connect data-driven underwriting insights with operational execution.

“As we look ahead to 2026, the question is not whether insurers invest in technology, but how intelligently they do so,” said Santhirasenan. “Pricing and underwriting are now recognised as the critical engines of decision making, and the winners will be those who modernise their infrastructure to unlock value.”

“AI is moving beyond hype into practical adoption, embedded across workflows to enhance quality and depth of insight, speed and confidence.”

He explained that the fear of being replaced by AI is fading, as actuaries and underwriters increasingly see it as a collaborator that amplifies human expertise rather than replacing it.

He added, “Upskilling and AI fluency are becoming essential, ensuring talent can focus on judgement, innovation and experimentation with new data sets.”

Santhirasenan continued, “Efficiency gains will remain important, but they are no longer the differentiator. The true measure of success will be portfolio performance and the ability to steer towards profitability in a softening, highly competitive market. That requires investment not only in automation, but in equipping teams with the skills and tools to make sharper, data‑driven decisions.”

Looking ahead to 2026, he anticipates that insurtech ecosystems will expand further, simplifying data exchange and reducing friction across the market.

“Intelligent automation will relieve the burden of manual tasks, while AI powered platforms will connect the underwriting workflow end to end,” said Santhirasenan. “This cultural shift towards collaboration between human expertise and cutting edge tools will advance the frontier of what is possible in insurance. The tools, talent and ambition are already in place. The next phase of transformation will belong to those who connect them, moving beyond winning business at all costs to meaningful and measurable profitability advantage.”