AI agents are gaining traction in the insurance industry. From pre-qualifying leads to handling customer inquiries, the promise is that AI can help insurers and agents operate more efficiently—but do AI agents actually improve conversions?

The answer isn’t simple. In conversations with insurance leaders at industry conferences, and through a recent LinkedIn poll on our page, we found that opinions are highly divided. Some are optimistic, some cautious, and others skeptical. Here’s a breakdown of the three main positions to this debate.

Position #1: Yes, AI Agents Can Improve Conversions Through Smarter Filtering

Many insurance leaders see AI as a tool for improving lead quality and conversion efficiency.

How it works: AI agents can ask targeted questions to determine a prospect’s eligibility or readiness to buy. By filtering out unqualified leads and effectively routing calls to the appropriate agent, human agents can focus their time on the most promising opportunities.

Why leaders are optimistic:

• Better targeting: AI identifies high-value prospects faster.
• Effective routing: AI can route callers based on their needs to the agent that can best help them.
• Efficiency gains: Human agents spend less time on low-quality calls.
• Scalability: AI can handle high volumes of inquiries without fatigue or error.

Industry leaders generally believe that as AI technology improves, these benefits will increase, potentially creating a competitive advantage for early adopters.

Position #2: No, AI Agents Can Hurt Conversions by Adding Friction to the User Experience

On the other hand, employees who work directly with consumers report that AI agents can disrupt the user experience.

Potential issues:

• Misinterpreted answers or repeated questions frustrate users.
• Interaction feels unnatural, creating confusion or skepticism.
• Technical errors or long response times interrupt the flow of the journey.

Why this matters: Even if AI filters calls effectively, a poor user experience can reduce overall conversions. For some companies, the friction introduced by AI outweighs the theoretical benefits of lead filtering, especially in complex or sensitive insurance decisions.

Position #3: Not Sure, Limited Data Makes Effectiveness Unclear

A third perspective is that the jury is still out because adoption is relatively new and data is limited.

Considerations:

• Effectiveness varies widely based on AI design, integration, and the type of insurance product.
• Longitudinal data on ROI, conversion lift, and user satisfaction is sparse.
• Many companies are still in pilot phases, experimenting with AI agents while collecting early performance metrics.

This cautious stance reflects a realistic acknowledgment: while AI has potential, we don’t yet fully understand its impact across all use cases and customer segments.

Our Perspective: AI Agents Will Be Part of the Future of the Insurance Industry

At Soleo, we believe AI agents will play a role in future insurance conversions. Adoption is still early, but the technology is rapidly improving, and insurers who experiment now will be better positioned to optimize their AI agents before competitors catch up.

Our recommendations for insurers:

• Start small but start now: Pilot AI agents with specific campaigns or lead types to learn what works, or work with a partner that is doing this.
• Monitor and iterate: Track conversion rates, engagement, and user satisfaction to refine your AI approach.
• Partner with experts: Work with performance marketing and AI partners who understand both the technical and business sides of conversions.

The reality is that AI agents won’t automatically solve conversion challenges—but with careful design, testing, and iteration, they can dramatically improve efficiency, lead quality, and ultimately, conversions.

Conclusion

The debate over AI agents is far from settled. Some industry experts see them as the best way to filter leads, some see them as friction points, and others are waiting for more data.

Regardless of your personal stance, it’s clear that AI agents are coming. Insurance companies that start experimenting now will have a head start on optimizing their customer journeys and capturing more high-quality leads.