PIA Connection Online

A few years ago, the technology question facing most agencies was relatively straightforward: which tools will make us more efficient? Today, the question is more complicated. Artificial intelligence can answer phones, summarize policy documents, automate service requests, draft communications, analyze submissions, compare coverages, and eliminate hours of administrative work. New technology capabilities emerge regularly.

For agents, the pressure to adopt new tools is growing. Customers expect faster service. Employees are looking for relief from repetitive tasks. Competitors are experimenting with new ways to operate. And unlike previous waves of agency technology, AI introduces a new challenge.

Every efficiency gain comes with a new set of questions. What happens to customer data once it enters an AI system? Who owns the insights generated from it? How much authority should agencies delegate to machines? When does automation improve service, and when does it create new errors, exposures, or compliance risks? And perhaps most importantly: where should human judgment remain non-negotiable?

Agencies have adopted solutions that improve efficiency, strengthen customer service, and help them compete. From agency management systems and comparative raters to customer portals and e-signature platforms, technology has consistently enhanced how agencies operate. What’s different now is the pace.

AI may be receiving the most attention, but it is only one part of a much broader wave of technology innovation. New solutions and upgrades are appearing regularly and they’re all competing for attention. Most agencies are simultaneously evaluating workflow automation, customer self-service, identity management, data solutions, voice technology, and AI-powered tools. Together, these innovations are reshaping how work gets done and how information moves throughout the insurance ecosystem.

“The pace of change is unlike anything we’ve seen before,” says Keith Savino, CEO US of Emergence Insurance. “The challenge for agencies isn’t simply deciding whether to innovate. It’s figuring out how to innovate responsibly while continuing to protect customers, data, and carrier relationships.”

“Innovation has always been part of the independent agency model,” Savino says. “What’s changed is that agencies now have more choices, more vendors, and more pressure to move quickly than ever before. That creates opportunity, but it also increases the importance of governance and strategic decision-making.”

The technology innovation discussion always starts with knowing the purpose, according to Vonda Copeland, co-owner of Copeland Insurance Agency. “We don’t start with the idea that we need to implement AI,” she says. “We start with the business problem we need to address. Once you understand the problem you’re trying to solve, you can determine the right solution.”

One of the biggest mistakes agencies can make is evaluating technology in isolation. “Every technology decision affects something else,” she says. “It impacts workflows, data, customer experience, carrier relationships, or all of the above. Understanding those implications before making a decision is critical.”

Innovation Creates New Dependencies

For years, agencies evaluated technology one solution at a time. They selected an agency management system, added a website, implemented electronic signatures, and installed a new phone system. Today, most technology decisions affect a broader ecosystem. Information moves continuously between agency management systems, carrier portals, comparative raters, CRMs, communication platforms, client portals, data providers, and increasingly, AI-powered applications. The result is a highly connected environment that creates tremendous opportunities for efficiency but also introduces new complexity.

“It’s not enough to ask whether a tool works,” says Copeland. “You have to understand how it interacts with your management system, carrier portals, your customer data, and the rest of your technology stack.”

As information increasingly moves between systems, understanding data rights and contractual obligations becomes just as important as understanding functionality. “One of the biggest questions agencies need to answer is what happens to the client data,” says Copeland. “Every vendor agreement and every carrier agreement should be reviewed carefully. Agencies need to understand how the data can be used, whether it can be used to train AI models, and what happens if that vendor relationship ends.”

“Technology used to evolve at a pace agencies could comfortably absorb,” says Brent Sheppard, CEO of Xanatek. “Today, it’s continuous. The challenge isn’t a lack of options. It’s separating meaningful innovation from noise and implementing change in a way that improves the agent’s business rather than complicates it.”

Agencies must also determine how new solutions fit into existing workflows and whether employees will actually use them. A solution can demonstrate impressive capabilities, but if it creates additional complexity or requires significant changes in behavior, adoption can become an obstacle.

“The technology itself is rarely the hardest part,” Sheppard says. “The real challenge is changing workflows, training people, and getting an organization to embrace a new way of working. That’s where many technology initiatives succeed or fail.”

Evaluating solutions is an issue PIA is focused on. At recent meetings of PIA’s Technology Council, participants discussed the importance of examining not only product functionality, but also security practices, data ownership, support models, integration capabilities, implementation requirements, and vendor viability.

For agency leaders, the challenge requires understanding what new dependencies new solutions create. Does it require access to customer information? Will it move data between systems? Does it rely on third-party integrations? What happens if the vendor changes direction, gets acquired, or experiences an outage?

AI and Interconnected Opportunities

“AI’s biggest impact today is automating workflows across insurance agencies and brokerages, allowing insurance professionals to focus on building customer relationships and growing premium volume without being constrained by operational capacity,” says Vic Yeh, co-founder and CEO of Cara.

The promise of AI is that many of those repetitive tasks can be handled automatically. This can be a big deal as agencies continue to face many of the same operational challenges they have struggled with for years — duplicate data entry, fragmented workflows, disconnected systems, and increasing service demands — and are eager for real solutions that can reduce those challenges.

The AI effect also brings a big carrier component. Increasingly, technology providers are developing AI agents capable of performing tasks on behalf of insurance professionals. These digital workers can gather information, route requests, retrieve documents, process transactions, and assist with servicing activities that once required significant human effort. It raises important questions. Should an AI agent be allowed to use agency credentials? How can carriers verify who (or what) is accessing their systems? Who is responsible if a transaction is completed incorrectly? And how can agencies automate work while maintaining security, transparency, and accountability?

The New Value Proposition

Technology was once expected to reduce the role of the insurance agent. Instead, it may be making the agent’s value easier to see. Some customers prefer to complete routine transactions online, accessing policies, uploading documents through portals, receiving updates through text messages, and completing simple tasks on their own schedules. But when insurance decisions become more complex, the desire for human expertise doesn’t disappear.

“The rise of AI doesn’t diminish the value of the insurance agent,” says Yeh. “Instead, it makes their expertise even more important. Agents will shift toward higher-leverage work. The reality is that insurance professionals face significant friction and operational challenges due to manual workflows. As repetitive and administrative tasks become automated, agents will be able to spend more time building client relationships and driving premium growth. We’re moving in that direction, though there is still work to be done.”

Finding the Line

Many agencies are developing formal processes for technology evaluation. PIA’s Technology Council participants are addressing the importance of treating technology decisions with the same discipline agencies bring to underwriting, carrier relationships, and financial management. Before implementing a solution, agencies should ask a series of basic questions, including:

• How will we measure success?
• Where does this fit within our existing technology stack?
• What data will it access?
• How will it affect our workflows?
• What level of training and support is available?
• What happens if the vendor is acquired, changes direction, or disappears?

These questions extend well beyond technology. Agencies also need to understand how their carrier agreements and vendor contracts address data usage, AI, and ownership rights. “Technology is evolving faster than many agreements were written,” Copeland says. “Agencies should understand not only what a tool can do, but what they’re agreeing to when they use it.”

Copeland has developed a vendor evaluation checklist inside her agency to help address many of these issues. “The field is changing so quickly that you need a framework,” she explains. “If you don’t have one, it’s easy to get distracted by the latest demo or the latest promise.”

That framework has become increasingly important as agencies evaluate AI solutions. Unlike traditional software, AI systems often learn, evolve, and interact with data in ways that aren’t always obvious to users. Understanding how those systems operate—and how they fit into the broader agency ecosystem—has become a critical part of responsible adoption.

“It’s easy to love a demo,” Copeland says. “What’s harder and more important is understanding how that technology fits into your long-term strategy.”

Insurance remains a business built on trust. Customers may use portals to make payments. They may interact with AI assistants after hours. They may upload documents through mobile apps and receive policy information instantly. But when a claim threatens their assets, when a business acquisition creates new exposures, or when a family faces a major coverage decision, they still want a knowledgeable professional sitting across the table from them.

“Insurance is a trust-driven industry,” says Yeh. “Technologies such as text messaging, portals, and AI agents are tools that help agencies operate more efficiently, but trust is ultimately built through an agent’s expertise, relationships, and the experience they deliver to clients.”

The challenge isn’t deciding whether innovation matters, but determining which innovations create value, which introduce new risks, and how agencies can maintain visibility and control as technology becomes more deeply embedded in their operations. Agencies should embrace innovation thoughtfully and govern it responsibly.

“Innovation is important, but innovation without a plan creates risk,” Copeland says. “The goal isn’t to avoid new technology. The goal is to adopt it intentionally.”