Gallagher Bassett: insurers face evolving risk landscape
Claims and risk management solution provider Gallagher Bassett has released The Carrier Perspective: 2026 Claims Insights, the fourth annual edition of the industry whitepaper.
Responses from 250 insurance leaders and decision makers across the United Kingdom, Australia and North America were collected and analysed by Gallagher Bassett’s internal experts. This analysis identified the most pressing trends influencing insurers’ strategies for 2026.
Charlotte Harrison-May, Gallagher Bassett EME&A’s head of carrier and market Relationships, commented on the findings: “What stands out in the UK data is how quickly pressure points are stacking up. Insurers aren’t facing a single dominant risk—they’re managing rising costs, rapid technology change and constrained talent pools at the same time.”
Talent attraction and retention have emerged as the top concern for UK insurers. Over 70% of respondents reported difficulties securing specialist talent were limiting their operational capacity.
“UK insurers are saying claims roles are the hardest to fill,” Harrison-May says. “At the same time, claims are becoming more complex. This combination of challenges means workforce pressure is now a direct driver of cost, not just a people issue.”
Rising claims costs and premium affordability continue to weigh heavily on UK insurers, Gallagher Bassett claimed, saying that nearly 60% report increased costs—driven by social inflation, litigation and rising medical costs per claim—making it the second most reported business challenge of 2026. Insurers are responding by tightening underwriting standards, enhancing risk assessment, and revising pricing strategies.
Adapting to rapid technological change ranks as the third most cited business challenge for UK insurers, with 73% now using generative AI in claims – the sharpest adoption curve of all surveyed regions. Conversely, the technology has also enabled more fraudulent activity with over one‐third of respondents reporting an increase in suspicious claims linked to AI‐generated documentation.
“AI is delivering efficiency at scale, but it’s also changing the risk landscape,” Harrison-May says. “Insurers are committed to good governance, validation and transparency, but want to manage these mitigation strategies without blowing out the cost of claims.”
“This research reflects an industry recalibrating,” Harrison-May adds. “The insurers that succeed will be those that connect workforce capability, cost discipline and responsible technology use, rather than tackling each in isolation.”
The Carrier Perspective: 2026 Claims Insights is available for download. Contact Gallagher Bassett for more information.
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