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Insurance employees turn more negative on AI as hiring cools
Glassdoor said insurance employee confidence fell 7 percentage points from July 2025 to July 2026, while postings for entry-level claims adjusters dropped 50% year over year.
A new Glassdoor and Indeed Hiring Lab analysis finds growing employee skepticism about artificial intelligence within the insurance sector, driven by fears of AI job replacement and concerns that AI could degrade work quality. The report links the shift to rising negativity toward using AI tools, as well as AI-based automation of tasks historically handled by claims staff, Insurance Journal reports.
The analysis points to weakening labor demand in insurance roles. Sector employment fell 21% year over year, and claims adjuster postings were down 55% from their post-pandemic peak. It also highlights that employee confidence in insurance dropped 7 percentage points from July 2025 to July 2026.
Glassdoor’s Employee Confidence Index for its broader AI report reached a record 10-year low in July, with the insurance sector among the sources of the negative sentiment. The report also found claims adjusters were among the most critical of AI in Glassdoor reviews, and that employee confidence had generally tracked higher than other industries before reaching its current low.
The report says demand for inexperienced adjusters has dropped sharply, with entry-level adjuster job postings down 50% since 2025. It notes that inexperienced adjusters often follow specific formulas that could be outsourced to agentic AI, and while the authors cite other possible factors, insurance employees appear to be assigning much of the blame to AI.