Insurable Interest Canadian Insurance Blog

East Brunswick, NJ  (June 12, 2026) – Wipro Limited, a leading AI-powered technology services and consulting company, is pleased to announced the release of its report, The AI Advantage: Building Tomorrow’s Insurance Enterprise. The report, which includes responses from 100 business leaders from U.S. insurance companies with revenues surpassing $500 million, reveals an industry actively embracing Artificial Intelligence’s (AI’s) potential. As insurance firms look to leverage AI to transform their core processes, the report shows that AI is set to become a much bigger part of Information Technology (IT) budgets, with 81 percent of firms planning to increase AI spending within the next year and most firms looking to more than double AI budgets – from 8 percent today to 20 percent – in the next 3-5 years. Almost all (92 percent) of respondents agree that AI is essential for maintaining their competitive edge in customer experience and personalization. However, the findings point to a two-speed market, where larger firms lead AI adoption – with their robust governance frameworks and vast data resources – while many mid-sized and smaller firms face hurdles from legacy systems to limited AI expertise. Underwriting is one of the main areas where insurers are aiming...

Global study on trust in Artificial Intelligence (AI) reveals more than half of people are unwilling to trust AI, reflecting an underlying tension between its obvious benefits and perceived risks The intelligent age has arrived: 66% of people use AI regularly, and 83% believe the use of AI will result in a wide range of benefits. Yet, Trust remains a critical challenge: only 46% of people globally are willing to trust AI systems. There is a public mandate for national and international AI regulation with 70% believing regulation is needed. Many rely on AI output without evaluating accuracy (66%) and are making mistakes in their work due to AI (56%). A global study on trust in Artificial Intelligence (AI) released today reveals more than half of people globally are unwilling to trust AI, reflecting an underlying tension between its obvious benefits and perceived risks. The Trust, attitudes and use of artificial intelligence 2025 global study led by Professor Nicole Gillespie, Chair of Trust at Melbourne Business School at the University of Melbourne and Dr Steve Lockey, Research Fellow at Melbourne Business School, in collaboration with KPMG, is the most comprehensive global study into the public’s trust, use and attitudes towards AI....

Navigating a New Normal: Morningstar DBRS Chicago, IL (June 12, 2025) – Morningstar DBRS has released a new report, titled “Navigating a New Normal: 2025 Wildfires Renew Volatility of Natural Catastrophe Losses for Canadian Insurers.” This commentary discusses the potential financial and credit implications of the ongoing wildfire season for the Canadian P&C insurance industry. The 2025 wildfire season will likely be another active and costly chapter for Canadian P&C insurers. However, given the lessons learned in recent years, strong capitalization, reinsurance protections, and disciplined underwriting, we anticipate the industry to be able to absorb this latest wave of losses without a material impact on credit profiles. Key Highlights: Canada’s 2025 wildfire season has rapidly escalated, with over 2.8 million hectares already burned, adding pressure to an industry still absorbing 2024’s record catastrophe losses. While the Canadian P&C insurance industry remains well capitalized, the increasing frequency and severity of wildfires are testing the limits of underwriting models and reinsurance strategies. The current trajectory suggests that wildfire-related losses may surpass previous records, prompting a re-evaluation of risk management and pricing strategies. “The recurrence of major wildfire seasons, particularly in regions previously considered low risk, is raising broader questions around insurability and...