Insurance is not an easy market. We operate under tight deadlines, low margins, and a fair bit of uncertainty that takes a toll on our focus and capacity. This must change. Customer expectations have risen, and there is a growing demand for transparency and empathy in the decisions we make. This is why 'responsible underwriting' is the need of the hour.
I was a panelist at a recent Send webinar along with Haley Robinson, NED and advisor to the commercial and specialty market, and Russell Brown, principal at Safe Harbor Insurance. Together, we unpacked how insurers can protect margins while delivering value to customers. Here are some insights from our discussion that can be translated into actionable strategies in 2026.
Balance profitability and customer-centricity.
This is non-negotiable. There can be a strong urge to overaccommodate to meet targets, especially if the underwriter is new to the industry. This is where underwriters must hold their ground and be transparent on what they can write and what they cannot. To earn the trust of customers, underwriters must be consistent, fair, and clear. However, Haley Robinson reinforced a fundamental truth that ultimately, sustainable profitability is essential. With discipline, underwriters can gauge when to be flexible and when to say no to deliver long-term value to customers and retain profitability.
The AI era: The best time for underwriters
There has not been a better time to be an underwriter than today. Two decades ago, all an underwriter had was a pen and paper. Today, underwriting workbenches can ingest broker submissions, cleanse data, benchmark risks, and much more. AI represents a major change in the industry. AI is creating an ecosystem where underwriters can reduce administrative tasks and focus on writing business. This can help underwriters show a transparent picture to the client and give them a tailored customer experience. But I still caution the industry that underwriters must remain curious and skeptical about using AI. Just because a pricing engine gives you a number doesn't mean it's right. Tools must guide decisions and not dictate them.
Empower the next generation of underwriters with soft skills.
Russell Brown pointed out how underwriters today have major training gaps that prevent them from being critical thinkers. I agree with him. I recall how I was part of programs earlier on in my career that focused on communication, negotiation, and relationship building. I do feel that today's underwriters are over-reliant on digital communication. In my opinion, effective underwriters are those who combine strong technical skills with confidence to engage directly with clients, especially with large commercial lines. So AI is indeed a blessing as it reduces administrative work and allows junior underwriters to spend more time observing, engaging, and developing situational judgment.
Responsible underwriting is the only way forward.
As we move ahead, new industries and businesses are emerging. Insurers must support innovation by withstanding risks and moving capital to those who need it. I agree with Haley Robinson when she says, "If something is covered and it's clearly covered, we must pay quickly and in full." Insurers who have a good reputation for paying claims that are valid are the ones that will win in the future.
At its core, insurance is a promise, and responsible underwriting means keeping up the promise. As AI and technology reshapes workflows, the true test of success will be insurers who can combine data-driven insights with empathy, integrity, and accountability. By doing this, responsible underwriting will be both a strategic advantage and a promise delivered.
