$15 billion of the insurance industry is at risk from AI, BofA says

Investors who shrugged off last month’s artificial intelligence (AI) scare in the insurance sector might want to brace themselves for a reality check. A new report from BofA Global Research estimates more than $15 billion in insurance industry commissions are considered “low complexity” and face a not immaterial risk of AI disintermediation. In other words: a real possibility.

The warning comes on the heels of a volatile period for insurance broker and agent stocks. On Feb. 9, the subsector...