Mason Greenberg

Did you know that, accordingly, 35% of businesses use and rely on AI in their day-to-day operations? This is crazy because 20 years ago, AI did not exist. When I was a kid in school (Mason G), I did not even imagine that there would be a tool that would make our lives easier and more efficient. I am sure if AI was around over 100 years ago, do you think how much easier it would be for our parents and grandparents? They would be able to communicate faster and work faster. 

In this article, we will examine the current benefits, implications, and risks associated with AI and how this tool can even replace insurance jobs one day.

Jeffery, a broker in a small town in Bright Grove, Alberta, has been working in the Insurance industry as a broker for over 30+ years. He enjoys this job because he can interact with the client regularly and enjoys listening to the customers’ needs and finding the right insurance based on those needs. He gets great satisfaction every day.

When asked about AI, Jeffery said there is no way AI will replace us, the “human acceptance” of the insurance jobs industry. Jeffery explained, I guess I am just an old school kind of guy and can see it. Jeffery would not be opposed to AI in regard of making his job and other brokers’ jobs easy, he just does not want AI to replace the broker and take the job away from the human. 

Karen, a broker in a big city in Montrell, Quebec, has been a broker for 5+ years and enjoys her job but sometimes gets busy with clients and has trouble dealing with all the clutter. Karen said she enjoys working with the customer to find the best insurance package, but worries she will be burnt out in the next 5 years as her job is tiring and has lots of work.

She would be open to AI as she does not want AI to replace her or the human, but if they can respond to emails automatically, that is something that would make her job a lot easier and give her more time to meet with the client and have those in one meeting to create the connection. At the end of the day, she wants to see AI replace certain tasks that take up too much time of the broker’s day but is opposed to replacing the broker position altogether. 

Amir is a fresh graduate out of school with big dreams who wants to become a broker because he enjoys protecting families from the unexpected and can sleep better at night when he knows his clients are protected from the unexpected.

When asked about AI, he simply said Yes, I love AI. It makes my life so much easier, and I see it making the broker’s life easier as well. Amir loves using technology because he says it saves time, money, and energy.

Humans only have 24 hours in a day and we can’t work for 24 hours. What happens if AI can work for us during the night and complete tasks such as sending emails, cold calling, and finding prospective clients, and setting out our schedule each day automatically? Do you know how much time that would save the broker? so much time that we would be able to spend more time with the client and create a personal connection. 

When taking a look at these stories, we can see that everyone has their own opinion on AI and how much good and bad it will do to the insurance jobs industry. We all must understand the implications and importance of AI below, hearing from the biggest names in the insurance jobs industry.

Desjardins Insurance Leveraged AI in the enterprise 

Valerie Lavoie, President and Chief Operating Officer at Desjardins General, sits down with Insurance News in April of 2022 to discuss AI and what impact it could have on insurance jobs.

The insurance industry has undergone significant transformation in recent years, with digital advancements reshaping customer expectations. The COVID-19 pandemic further emphasized the need for a seamless digital experience, prompting insurers to adopt a more technology-driven approach.

Valerie Lavoie, President and COO of Desjardins General Insurance Group, believes that staying ahead in this evolving landscape requires innovation, adaptability, and a commitment to customer-centric values.

Intelligence Impact on Insurance Jobs

Looking ahead, artificial intelligence (AI) is set to play a significant role in shaping the insurance industry. Desjardins is already leveraging AI to enhance claims processing and improve its distribution channels.

Lavoie views AI as a key driver of the industry’s ongoing digital evolution, helping insurers create a more seamless and efficient experience for customers. 

As consumer expectations continue to evolve, Desjardins remains committed to delivering innovative, client-focused insurance solutions. By integrating cutting-edge technology with a strong values-based approach, the company is paving the way for a more accessible and responsive insurance jobs’ landscape.

TD Bank Uses AI For Mortgage and Insurance Approvals 

Revolutionizing Customer Experience with Artificial Intelligence

TD Bank Group (TD) is making strides in digital innovation by launching two AI-powered solutions aimed at streamlining mortgage pre-approvals and term life insurance applications. These advancements are designed to enhance the overall customer experience by significantly reducing wait times and simplifying complex processes. 

Faster Mortgage Pre-Approvals with AI 

Since August 2023, TD has been utilizing an AI model to accelerate mortgage and home equity line of credit (HELOC) pre-approvals. Developed by Layer 6, TD’s in-house AI research center, this technology can approve certain applications in mere seconds, allowing mortgage underwriters to focus on more intricate cases. 

Buying a home can be a daunting process, especially in an unpredictable interest rate environment. Recognizing this, TD introduced this AI-driven approach to make homeownership more accessible. Thousands of customers have already benefited from this streamlined process, experiencing reduced waiting times for approvals.

Optimizing Term Life Insurance Applications 

TD Insurance took a similar AI-driven approach in March 2023 by implementing a machine learning model to expedite the review and approval of term life insurance applications. As the demand for life insurance continues to grow, this AI solution ensures that eligible applications are processed efficiently, providing customers with quicker responses. 

By leveraging machine learning, TD has been able to transform the life insurance application process, enhancing customer satisfaction and ensuring timely decisions. 

A Commitment to AI Innovation 

These AI advancements align with TD’s long-term strategy of integrating cutting-edge technology to improve its services. Since acquiring Layer 6 in 2018, TD has expanded its AI research efforts, implementing nearly 50 AI-driven solutions and filing over 450 AI-related patents. Layer 6 has also received industry recognition for its contributions to artificial intelligence, including winning the ACM RecSys Challenge. 

According to TD’s Head of AI and Analytics, these new solutions reinforce the bank’s commitment to leveraging AI to enhance customer experiences. By continuously investing in advanced technology, TD is setting a new standard in digital banking and insurance services, ensuring that customers receive faster, more efficient service.

Manulife Expands AI with 75% Workforce Adoption

As part of its ongoing digital transformation, Manulife has reached a major milestone by granting its entire global workforce access to its proprietary generative AI assistant, ChatMFC.

The company reports that more than 75% of employees actively engage with GenAI through learning programs, hands-on experiences, and AI-powered tools. This development highlights Manulife’s decade-long dedication to integrating AI into its operations, fostering efficiency and innovation at every level. 

Driving Digital Transformation Across the Organization 

By making AI accessible to all employees, Manulife enables its workforce to streamline tasks, automate processes, and enhance decision-making. AI is not simply an add-on; it is a core component of the company’s operations, influencing teams, business units, and locations worldwide. 

Scaling AI for Growth and Efficiency 

Manulife’s AI investment plays a crucial role in its broader digital strategy. The company has built a cloud-based AI and data platform, with over 35 AI-driven use cases currently deployed across Canada, the U.S., and Asia. An additional 70 use cases are slated for rollout by the end of 2025.

Some of the key AI-driven innovations include: 

• ChatMFC: An AI assistant designed to automate routine tasks, allowing employees to focus on strategic priorities. 
• AI Learning Programs: A skills-building initiative helping employees at all levels harness AI effectively. 
• Expert AI Team: Nearly 200 data scientists and machine learning engineers are embedded across the organization to scale AI solutions. 

Karen Leggett, Global Chief Marketing Officer at Manulife, emphasized that AI is transforming customer relationships, enhancing advisor interactions, and creating new revenue opportunities. “AI is driving efficiency, fueling growth, and strengthening our bottom line globally,” she stated. 

A Commitment to Responsible AI Adoption 

As Manulife continues expanding its AI capabilities, it remains committed to ethical AI usage. The company follows its Responsible AI Principles, ensuring transparency, ethical considerations, and sustainability in all AI-driven advancements. 

AI has also revolutionized customer service and business operations. Notable developments include: 

• AI-powered translation tools, providing real-time translations in nine languages to enhance global communication.
• Sales Enablement Tools, offering personalized insights to advisors and expanding across international markets. 
• AI-driven customer support, managing over 110 million calls annually to improve service accuracy and responsiveness. 

Looking Ahead: The Future of AI at Manulife 

Manulife’s AI roadmap for 2025 aims to deepen AI-driven insights, enhance customer and advisor personalization, and scale AI-powered solutions. With AI at the heart of its strategy, the company expects a threefold return on digital investments over five years, having already realized $600 million in benefits in 2024.

Will AI Replace Insurance Jobs?

Let’s take a look. According to the Canadian Underwriter, Artificial intelligence (AI) is poised to revolutionize the property and casualty (P&C) insurance sector, but perhaps not in the ways most people assume. While AI won’t be replacing insurance jobs in the industry, it will significantly enhance efficiency, according to Sinead Bovell, futurist and founder of WAYE, who spoke at the RIMS Canada Conference in Ottawa. 

Enhancing Risk Modelling and Decision-Making 

Bovell emphasized that AI’s primary role in the insurance industry is to refine risk assessment and simplify administrative tasks. The technology can analyze vast amounts of data, far beyond what traditional statistical models can handle, to detect patterns and insights that might otherwise go unnoticed. 

For example, conventional risk models may process thousands of data points, but AI has the capability to assess hundreds of thousands, leading to more accurate risk predictions for clients and policyholders.

However, despite its analytical power, AI lacks the ability to make subjective decisions. Human judgment remains essential in interpreting AI-generated data and determining the best course of action. 

By combining AI’s predictive analytics with human expertise, insurers can create well-balanced risk assessments for policies, clients, and business strategies.

For instance, if a homeowner leaves for vacation while residing in an area experiencing increased burglaries, AI could predict the likelihood of a break-in and suggest an appropriate premium adjustment. A broker could then use this insight to proactively advise the homeowner on additional security measures to mitigate risk. 

Streamlining Administrative Processes 

Beyond risk assessment, AI can also optimize day-to-day operations within insurance firms. By automating routine and time-consuming tasks, employees can focus on higher-value work. Companies can train AI systems using proprietary data, allowing them to generate training materials for new hires and expedite the onboarding process. 

Another practical application of AI is note-taking. Digital AI assistants can accompany employees in meetings, capturing key insights and summarizing discussions, making it easier to retain and act on important information. This capability is especially valuable for junior employees, who may benefit from structured data and comprehensive notes. 

AI can also assist with drafting emails, helping employees articulate messages more effectively. For example, before sending a potentially contentious email, AI might suggest a more diplomatic tone, improving workplace communication and professionalism. 

Breaking Language Barriers 

One of AI’s more transformative benefits is real-time language translation, which can facilitate collaboration across international teams. Companies looking to diversify their workforce will find this technology invaluable, as language differences become irrelevant in day-to-day operations. AI-powered translation ensures seamless communication, fostering strong professional relationships across global markets. 

The Future of AI in Insurance 

As AI continues to evolve, its impact on the P&C insurance industry will become even more profound. While it won’t replace human expertise, it will serve as an invaluable tool for enhancing decision-making, automating tasks, and improving efficiency.

By embracing AI-driven solutions, insurance companies can better assess risk, provide superior service to clients, and create a more streamlined workplace for employees. 

Finally, the key takeaways from this blog, if you are a broker reading this, are that your insurance jobs won’t be taken away, but your responsibilities might change. As a consumer, the human interaction will never disappear. As an investor, AI will make the insurance industry more profitable, productive, and more confident. AI will certainly be in jobs, but to what extent, we must wait and see. 

References: 

Canadian Underwriter. (2024, March 7). AI won’t take your insurance jobs—Here’s what it’ll do instead.

Qorus. (2024, February 27). Manulife expands GenAI capabilities to entire workforce, achieves 75% engagement.

Qorus. (2023, October 19). TD Bank enhances customer experience with AI-driven mortgage and insurance approvals.

Insurance Business Canada. (2023, May 9). Desjardins’ Valérie Lavoie sees an omnichannel future for insurance.

Statista. (n.d.). Artificial intelligence (AI) worldwide.

American tariffs on Canadian exports, including a 25% tariff imposed by U.S. President Donald Trump, are driving up costs and could lead to higher insurance premiums for Canadians.

In response, Justin Trudeau, the prime minister of Canada, declared instantaneous countermeasures and imposed tariffs on $30 billion worth of American goods. The list of affected goods includes food items like meat and poultry, alcoholic beverages, various plastics, rubber materials, construction products such as wood panels and flooring, textiles, household appliances, machinery, and even vehicles, aircraft, and weaponry. 

Further complicating the situation, Trump has declared a 25% tariff on all steel and aluminum imports, including those from Canada, set to take effect on March 12. With the cost of an average car rising by almost $3,000 and bigger SUVs possibly seeing a rise of up to $9,000, analysts warn this could greatly increase vehicle prices.

Targeting another $125 billion in U.S. imports, Trudeau also described plans for further retaliatory tariffs in three weeks. Canada also plans to contest U.S. tariffs using legal channels including the U.S.-Mexico-Canada Agreement (USMCA) and the World Trade Organization (WTO).

Trudeau underlined that as long as the United States keeps its own tariffs, Canada’s tariffs will stay in place; further non-tariff policies could be introduced in cooperation with provincial and territory leaders.

Rising Insurance Costs 

The Canadian insurance sector is bracing for the economic impact of these American tariffs. Industry experts warn that higher costs on imported materials needed for home and vehicle repairs will likely lead to increased claims expenses, which could translate to higher insurance premiums for consumers. 

“American tariffs will increase costs for materials used in repairing and replacing homes, vehicles, and businesses, ultimately affecting insurance claims and leading to higher premiums,” the Insurance Bureau of Canada (IBC) stated.

Although the full extent of these effects is still unclear, the interconnected nature of the North American auto supply chain makes auto insurance particularly vulnerable, while home insurance could also see a rise in premiums due to the rising costs of building materials. 

To mitigate these impacts, insurers may seek alternative suppliers to reduce reliance on American goods. However, the general expectation remains that claims costs across all lines of property and casualty (P&C) insurance will be affected, potentially leading to increased premiums for consumers.

Which Premiums Will Rise First? 

According to Fitch Ratings, property insurance premiums will be the first to reflect these tariff-induced price increases. Unlike auto insurance, which is subject to government regulation in provinces like Ontario, home and commercial property insurance rates can be adjusted more quickly to account for rising costs. 

“Home insurance premiums are not regulated by a central authority, meaning insurers can react more swiftly to changes in claims expenses,” Fitch noted. The trade war’s impact will likely exacerbate existing insurance cost pressures, including premium hikes driven by inflation, increased auto theft rates, and the record $8.9 billion in natural catastrophe-related losses Canada experienced last year. 

While property insurance premiums could rise relatively quickly, auto insurance increases may take longer to materialize. Regulatory oversight in provinces like Ontario means that insurers must justify and submit proposed rate hikes for approval, a process that can take several months. Even after approval, consumers may not see changes until their policies come up for renewal, potentially delaying tariff-driven premium increases by a year or more. 

Regulators will also have to consider the broader economic impact of these premium increases. A report from KPMG highlights the challenge provincial insurance regulators face in balancing necessary rate hikes with consumer affordability concerns, as Canadians already struggle with inflation and rising costs across multiple sectors. 

As the trade war unfolds, both governments and businesses will be closely watching how American tariffs affect consumers. For Canadian insurance policyholders, the coming months could bring significant changes to their coverage costs, with home and auto insurance likely to feel the brunt of these economic shifts.

US Tariffs Impact Canadian Car Insurance 

Prepare for Price Increases 

Canadian car owners should brace for potential financial strain as new U.S. tariffs are set to take effect in March 2025. These American tariffs, targeting vehicles and auto parts, are projected to drive up costs across North America. For Ontario residents already juggling homeownership expenses, now is an ideal time to reassess insurance coverage. 

The Impact of a 25% Tariff 

The proposed 25% tariff on imported vehicles and auto parts is expected to increase costs across the industry. As a result, insurance premiums in Canada are likely to follow suit. Analysts predict that new car prices in the U.S. could rise by approximately $3,000, potentially leading to an even greater financial burden for Canadian consumers.

Insurance Rates Are Already Climbing 

Even before these American tariffs take effect, car insurance rates have been steadily increasing: 

• Ontario drivers currently pay an average of $2,006 per year. 
• This marks a 20% rise since October 2022. 
• Across Canada, rates climbed 8.8% between October 2023 and October 2024. 
• The previous year saw a 4.6% increase in rates. 
• 2024 has recorded some of the sharpest rate hikes in recent years. 

Contributing Factors to Higher Insurance Costs 

In addition to trade tariffs, increasing incidents of auto theft have been a major contributor to rising insurance premiums: 

• Auto theft claims in Canada reached $1.5 billion in 2023—a 254% surge since 2018. 
• Ontario alone accounted for over $1 billion in theft claims in 2023, a 524% increase from 2018. 
• These increases add approximately $130 to the average Ontario driver’s annual insurance premium, regardless of whether their car was stolen.

Industry professionals are raising concerns over the ripple effect of these American tariffs. Kevin Fujita, co-owner of CSN Kustom in Alberta, notes that rising costs will be passed on to consumers and insurance providers alike. Meanwhile, Aaron Sutherland from the Insurance Bureau of Canada warns that the 25% tariff will inevitably inflate auto insurance premiums due to costlier vehicle repairs and replacements. 

Why Tariffs Affect Insurance Premiums 

The connection between vehicle costs and insurance rates is clear: 

• Higher Replacement Costs: More expensive vehicles lead to increased replacement expenses for insurers. 
• Rising Repair Costs: Higher prices for auto parts will drive up repair bills. 
• Premium Adjustments: Insurers will likely raise premiums to offset these heightened costs. 

If you own a home or are planning to buy one, securing adequate insurance coverage is essential to safeguard your financial well-being.

How to Save on Car Insurance 

Despite these financial pressures, there are effective ways to manage your insurance expenses: 

• Compare Providers: Different insurance companies offer varying rates—shopping around can help secure a better deal. 
• Bundle Policies: Combining auto and home insurance can lead to significant savings. 
• Adjust Your Deductible: Opting for a higher deductible may reduce monthly premiums, but ensure it aligns with your financial situation. 

Looking Ahead 

The auto insurance landscape is rapidly changing, with new technologies and economic factors influencing rates. Staying informed can help you make smarter financial decisions and identify potential savings opportunities. 

Take Charge of Your Insurance Costs 

Now is the time to take action. Speak with your insurance provider about available coverage options, compare policies, and stay ahead of rising costs. Whether managing a mortgage or protecting your vehicle, being proactive is key to maintaining financial security. 

How BeatMyInsurance.com Can Help

BeatMyInsurance.com eases the process by allowing you to compare multiple quotes from multiple brokers—all while staying anonymous until you accept a quote. This saves you time, protects your privacy, and ensures you find the best coverage at the most competitive price.

Don’t wait until rising premiums catch you off guard—take steps now to safeguard your finances and ensure you’re getting the best insurance coverage possible.

Ontario Insurance Costs May Rise

According to Business Insurance America, this is how American tariffs could drive up Ontario home and auto insurance costs:

Ontario homeowners and drivers may soon see higher insurance premiums due to newly imposed US tariffs on Canadian goods. Digital insurance marketplace rates.ca warns that rising material costs—particularly in the automotive and construction sectors—could have a ripple effect on insurance rates. 

Starting March 12, a 25% tariff on Canadian steel will come into effect as part of a broader US strategy to protect its domestic steel industry. However, this move is expected to increase the cost of producing vehicles and constructing homes in Canada, potentially leading to pricier insurance claims and, ultimately, higher premiums. 

Why Insurers Are Paying Close Attention 

The Insurance Bureau of Canada is keeping a close watch on the situation, as the rising costs of materials could directly impact claim expenses. Since insurers base their rates partly on the cost of repairing or replacing damaged homes and vehicles, any significant increase in these expenses is likely to be passed on to policyholders. 

Daniel Ivans, an insurance expert and licensed broker at RATESDOTCA, explains that although the full impact of the American tariffs will take time to unfold, consumers should be prepared for potential increases in insurance costs.

Canada’s Response to US Tariffs 

In retaliation, the Canadian government has announced its own set of counter-tariffs on US-made products. Prime Minister Justin Trudeau has called the US decision “unjustified” and is implementing a 25% tariff on approximately CA$30 billion worth of American goods. If the US does not reverse its stance, an additional round of tariffs will take effect in three weeks, covering CA$125 billion worth of products, including cars, trucks, steel, and aluminum. 

While the long-term effects of these American tariffs on the Ontario insurance market remain uncertain, experts agree that any increase in manufacturing and construction costs will likely contribute to higher insurance rates soon. Consumers should stay informed and prepare for potential changes in their premiums. 

New tariffs introduced by U.S. President Donald Trump on March 4, 2025, are expected to significantly impact the Canadian group insurance sector, according to industry experts. 

At the Group Conference hosted by the Insurance Journal Publishing Group on February 27, professionals discussed the potential effects, even as uncertainty loomed over whether the U.S. would move forward with the tariff measures.

The Impact on Prescription Drug Costs 

The pharmaceutical industry is likely to feel the effects of these American tariffs. Since many medications pass through multiple countries before reaching Canadian pharmacies, added costs could drive up drug prices. 

Éric Trudel, Executive Vice President at Beneva, noted that 40% of Canada’s medications originate from the U.S., while U.S. pharmaceutical companies rely on overseas suppliers for about 30% of their drugs. With the U.S. imposing a 10% tariff on imports from Asia—recently raised to 20%—and the Canadian dollar already weaker in comparison, this could lead to a 5% increase in drug costs. If Canada responds with its tariffs, the impact could be even greater. 

Marie-France Amyot, Vice-President at Desjardins Insurance, emphasized the need for insurers to take a proactive approach. “We must ensure cost controls are in place, secure good agreements with pharmaceutical companies, and make certain that the right medications are provided under the right conditions,” she said. 

Dental Costs Could Rise 

American tariffs may also affect dental insurance. Many dental tools and equipment come from the U.S. and Europe, meaning costs could rise, potentially leading to higher insurance claims. 

In Quebec, dental care costs traditionally follow the Régie des rentes du Québec (RRQ) index. However, recent trends show an accelerated increase. The Association des chirurgiens dentistes du Québec raised its rates by 4% in January, while the RRQ index only increased by 2.6%. Similarly, in Ontario, dental fees rose by 2%, aligning more closely with inflation.

Disability Insurance: Differing Opinions 

Experts had mixed views on how American tariffs might impact disability insurance claims. 

Amyot suggested that economic uncertainty often discourages employees from leaving their jobs, even when facing higher stress levels. Charles St-Laurent, Regional Vice-President at Medavie Blue Cross, agreed that disability claims may not rise in the short term but could increase if the economy slows down. He noted that during times of layoffs, employees may seek disability leave as an alternative to job loss. 

Trudel, however, argued that in small and medium-sized businesses (SMEs), employees might hesitate to take disability leave due to job security concerns. Meanwhile, layoffs will reduce the number of contributors to group insurance plans, potentially driving up costs for remaining members.

Potential Job Market Shifts 

Despite these concerns, actuary Jean-Guy Gauthier of CQFD Actuariat remained optimistic. He believes Canadian businesses will adapt by adjusting their offerings or expanding into new markets. In his view, benefits packages could become even more valuable as employers seek to attract and retain talent. 

Travel Insurance and Changing Consumer Behavior 

The impact on travel insurance is uncertain. Some experts believe that American tariffs could increase costs for insurers, particularly for policies covering trips outside North America. Others suggest that more Canadians may opt to travel domestically rather than to the U.S., which could offset cost increases in the short term. 

Some airlines have already adjusted their flight schedules in anticipation of fewer Canadian travelers heading to the U.S. 

Insurers Must Adapt

Given these challenges, industry leaders stress the importance of insurers taking an active role in managing costs and supporting plan sponsors. 

Amyot emphasized that insurers must work closely with clients to ensure long-term sustainability. St-Laurent echoed this sentiment, recalling how insurers provided flexibility during the pandemic by extending coverage and allowing delayed premium payments. 

Gauthier believes that advisors should take this opportunity to strengthen their client relationships. “Understanding our customers’ specific needs is key,” he said. “They may need aggressive renegotiations on their renewal, or they might be looking for reassurance during uncertain times.” 

Ultimately, he sees change as an opportunity for insurers to demonstrate their value and adaptability. 

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