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AI is expanding in employer benefits, but personalization and trust lag
A WTW survey of 312 employers found only 20% are operationalizing AI in benefits today, despite 72% planning to embed it within two years.
AI is starting to gain traction in employer-sponsored benefits, but industry leaders say two barriers remain: benefits programs often lack personalization and employees may not trust how their data is used, according to Insurance Business.
In a Marsh discussion focused on the gap between what benefits offer and who employees actually are, Nick McMenemy, Mercer Marsh Benefits UK leader, said AI is well positioned to address engagement by creating more personalized pathways across benefits, a problem the industry has been slow to solve.
Insurance Business cited a WTW survey of 312 employers published in May 2026 that found 20% are currently operationalizing AI in benefits programs, even though 72% plan to embed AI within two years.
The outlet added that this “intent versus current practice” gap is driving much of the advisory work, with Marsh Health and Benefits executives pointing to personalization as a key application for AI.