AI, cyber and the call for change

This year’s Airmic conference was more than a talking shop; it was a moment of reckoning for an industry long overdue for disruption.

“Cyber dominated the conversation – particularly following recent attacks on M&S, Co-op and Harrods,” said Rob Bartlett, CEO of Big Ticket, talking to AIRMIC Today. 

But the issue goes far beyond hacking headlines. “For those in the retail sector, it’s not just about direct threats any more – supply chain risk, data integrity and insurance industry vulnerabilities are all part of the picture.”

Bartlett is clear: the threat landscape is evolving fast – and the insurance industry is lagging. “The increasing sophistication of cyber-criminals – potentially even using AI and large language models to enhance phishing and attack methods – underscores how quickly the threat landscape is evolving.”

It’s not just threat actors who are using AI; the industry itself is finally waking up to its potential, albeit slowly.

“We also expect to see significant discussion around how risk managers and the insurance industry are themselves beginning to leverage the full potential of AI,” Bartlett explained. 

Bartlett: “Risk managers and brokers routinely exchange highly sensitive information through unsecured documents, increasing cyber exposure in the very process meant to reduce it.”

“More broadly, we heard candid conversations around the slow pace of industry innovation. Many in the risk management community are asking: why is the insurance sector lagging behind in adopting new technologies?”

A big message Bartlett pushed at Airmic revolved around data quality. “As AI becomes more central to underwriting, pricing and risk selection, the need for high-quality, provenance-rich data has become critical,” he said. 

“Big Ticket’s platform is positioned to meet this challenge – enabling insurers and brokers to deploy AI safely and at scale, while also addressing growing regulatory expectations and digital security concerns.”

And then there’s the irony that sits at the heart of the cyber market: “Recent developments in the UK market have underscored the vulnerability of the current cyber renewal process,” Bartlett warned. “Risk managers and brokers routinely exchange highly sensitive information through unsecured documents, increasing cyber exposure in the very process meant to reduce it.”

Bartlett believes the solution lies in a modernised, secure workflow. “Our digital infrastructure provides auditable access controls for all market participants, but it’s ironic that the process of placing cyber insurance often introduces unnecessary cyber risk. 

“We are closing that gap. Our cyber rollout will make the process faster, more secure and far more resilient.”

Ken Fraser, co-founder and president of Big Ticket, sees structural challenges holding the market back.

“There’s real concern in the broking community about the potential for AI to disintermediate them,” Fraser explained. “A broader question, but related, is: how does the insurance industry stay relevant in a world moving faster than its infrastructure?”

He didn’t hold back on where the problems lie. “Other sectors have modernised and thrived – finance, for example, has seen rapid digital transformation,” Fraser noted. “The major banks that embraced change, even after setbacks, are now leading the way. The insurance industry, by contrast, is still clinging to email and spreadsheets.”

Fraser: The major banks that embraced change are now leading the way. The insurance industry is still clinging to email and spreadsheets”

Fraser then pointed out one more industry weakness: “Another pressing concern, and one we’re vocal about, is the dismal quality and quantity of exposure data and how it is a major structural flaw for the industry.”

“That’s exactly why we’ve been investing heavily in improving data quality – especially around exposure data,” Fraser said. “AI is only as effective as the data it learns from – and today, around 70% of insurance exposure data is incomplete or unreliable.”

The company’s answer to solving this problem is delivering “structured, validated data” from client systems directly to the underwriter. 

“Our goal is to enable responsible, AI-driven insurance at scale – with all the governance and control regulators and risk managers demand.”

Fraser ended with a rallying cry to risk managers: “You have more power than they think. This is a call to action: if you want to see change in the industry, you have to drive it. You can’t wait for others to lead.”

Big Ticket is doing more than just talking – its gathering voices. “We are actively engaging with risk managers around the world through the launch of a ground-breaking piece of research launched at Airmic and supported by all the global risk management associations,” Fraser said. “The survey gives them the opportunity to share their views and concerns on AI and the digital future of the industry.”

His parting shot is clear and urgent: “Don’t wait for the system to evolve around you. You are the future of risk management – take ownership and help shape the direction of the industry.”

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