The insurance industry is entering a new phase of transformation. Economic uncertainty, shifting customer expectations and rapid advances in AI are pushing insurers to move faster while maintaining trust. The challenge is no longer just adopting new technology; it is building organizations that can adapt continuously.

CGI's 2026 Voice of Our Clients research, based on interviews with 122 insurance executives globally, shows the scale of the shift: 73% say technology and digital acceleration are the biggest force shaping their organizations today.

Building on these findings and discussions with executives from leading insurers at CGI InsureGrowth 2026, CGI's annual global insurance strategy event, this viewpoint explores how insurers are strengthening the capabilities needed to compete, adapt and grow in an increasingly complex environment.

Executive summary

CGI's 2026 Voice of Our Clients research and discussions with executives from leading insurers point to four priorities for building the adaptive insurer:

  • Modernize for agility: Move beyond technology upgrades to build flexible operating models that can adapt as business conditions evolve.
  • Differentiate through customer-centric, hyper-personalized experiences.
  • Develop the workforce and leadership needed to scale AI successfully.
  • Build a trust-tech industry: Embed trust through strong AI governance and resilient digital foundations.

Modernization and execution: Closing the agility gap

Modernization remains a priority, but the challenge has shifted from defining strategy to delivering measurable outcomes. 71% of insurance executives say digitalization is already affecting their operating model, yet only 19% describe their organization as highly agile for digitization, while 45% still cite legacy systems as a primary barrier to digital reengineering.

Large-scale transformation now requires both strategic direction and flexibility. As business conditions change more rapidly, organizations must make informed decisions while remaining adaptable.

“The shelf life of decisions is shrinking significantly. What is true today may be very different in five days or five weeks. We need delivery mechanisms that can respond to this kind of dynamic environment while leaving enough adaptability in the system, so we do not reach a point of no return.”
— Senior technology executive, a leading Canadian P&C insurer

Rather than a program with a fixed destination, transformation is becoming an ongoing capability built on continuous learning and improvement. That mindset is even more important as insurers expand their use of AI and agent-based technologies. These tools can accelerate decision-making and improve efficiency but also add complexity. Organizations that embed flexibility into their technology foundations and operating models will be better positioned for what comes next.

Hyper-personalization: The next engine of insurance growth remains the industry's top business priority, yet insurers are redefining how they achieve it.

For many insurers, competitive advantage is no longer defined only by product breadth, pricing or distribution reach. It increasingly depends on how easy customers find it to engage, how relevant offerings feel and how well insurers fit into broader customer ecosystems.

Customer expectations are shaped by experiences well beyond insurance. As people get used to seamless digital interactions in other parts of life, insurers face growing pressure to remove friction from every stage of the journey. Embedded insurance, omnichannel engagement and ecosystem partnerships are creating new opportunities to make insurance more accessible, relevant and intuitive.

“Start with the customer problem, not the technology. When you solve a real and meaningful customer problem, the technology will follow.”
— Senior life insurance executive, a leading Nordic insurer

Industry leaders identified hyper-personalization as a key differentiator, enabling insurers to move beyond broad segments toward more individualized experiences.

“Once a few organizations figure out hyper-personalization, that's going to really change our industry.”
— Senior life insurance executive, a leading Canadian insurer

Alongside personalization, insurers are exploring partnership models that bring together complementary products and services to support customer needs. As these models mature, they may become an important source of differentiation and growth.

The organizations most likely to lead the next phase of growth will be those that make insurance easier to access, more personal and more naturally woven into customers' lives.

People and culture: Building the organizational capacity to scale AI

Enterprise transformation is often discussed in terms of platforms, data and AI. Yet for many insurers, the more immediate challenge is building the organizational capacity needed to deliver and sustain change.

CGI's 2026 Voice of Our Clients research suggests that while 28% of insurance executives report significant difficulty recruiting IT talent, nearly half (49%) say talent shortages are having a high business impact. As insurers scale AI and digital initiatives, turning technology investments into business outcomes will require not only the right skills and leadership, but also transformed operating models, workforce capabilities, culture and the technology core.

Executive discussions reinforced that insurers are competing not only for specialized technology talent, but also for the ability to help existing teams adapt to new ways of working. Lasting change depends as much on culture and leadership as on technology; organizations that foster curiosity, trust and continuous learning are better positioned to navigate change and realize lasting value from transformation.

AI & governance: Insurance becomes a trust-tech industry

Trust has always been central to insurance. What is changing is how that trust is built.

As insurers accelerate AI adoption and expand digital capabilities, technology architecture, cybersecurity, data governance and operational resilience are becoming increasingly important drivers of customer confidence and business performance.

Yet for many, ambition is running ahead of readiness. While insurers continue to advance AI initiatives, many are still building the foundations needed to govern, measure and scale value from those investments. Only 21% currently quantify AI outcomes, highlighting how difficult it still is to translate AI ambition into measurable results.

Insurance leaders increasingly view AI as an efficiency driver in the near term and a catalyst for longer-term growth. As organizations move beyond experimentation and pilot programs, the focus is shifting to enterprise-scale adoption supported by clear governance, accountability and measurable outcomes.

“We're going to get beyond the mistrust. We're going to start seeing results and, for good or bad, we're going to start trusting those results. The question then becomes: how much do we let go, and how do we put the right guardrails in place to do use AI responsibly?”
— Senior insurance executive, a leading North American life insurer

As AI becomes more deeply embedded in underwriting, claims and customer interactions, the challenge is applying non-deterministic technology within a business that demands consistency, transparency and accountability. The organizations best positioned to succeed will be those that earn trust as deliberately as they deploy technology.

Looking ahead: Building the adaptive insurer

The next decade will reshape insurance from the ground up. The insurers best positioned for long-term success will recognize that transformation is about more than technology. Competitive advantage will depend on combining agility, customer-centric innovation, workforce readiness and trusted technology foundations effectively.

Together, these insights define the adaptive insurer: an organization that shortens decision cycles without sacrificing discipline, creates growth through customer relevance and personalization, invests in people as deliberately as technology, and embeds trust into every part of its digital strategy.

CGI helps insurers turn that vision into practice by moving from modernization ambition to measurable, scalable outcomes built on trust.

“The industry's greatest opportunity lies in connecting innovation with measurable business outcomes. Whether organizations are modernizing core systems, adopting AI or redesigning customer journeys, success ultimately depends on keeping the customer at the center of every transformation effort.”
— Tarun Dehariya, Vice-President, Insurance Sector Lead, CGI in Canada

The insurers that create lasting advantage will be those that continuously adapt while maintaining the confidence of customers, employees and stakeholders.