GlobalDataFinancialServices

Mon, July 20, 2026 at 6:30 AM EDT 2 min read

A GlobalData poll found that nearly half of respondents believe automation will replace over 25% of their company's workforce. Meanwhile, Allianz is reportedly planning to cut 1,500–1,800 roles as the insurer expands its use of AI across the business.

A GlobalData poll conducted in Q4 2025 on Verdict and Business Trade Media International sites (which received more than 2,000 responses) found that 48.6% of respondents believe automation will replace over 25% of their company's workforce. Within this group, 25.2% expect the figure to exceed 50%. However, a separate GlobalData poll also conducted in Q4 2025 found that 44.8% of the 2,000+ respondents were not concerned that automation will replace their job.

Meanwhile, Bloomberg has reported that Allianz Partners plans to cut 1,500–1,800 roles as it expands its use of AI. The reductions—expected across several European countries—will be implemented through severance packages, early retirement schemes, and other voluntary arrangements, according to CEO Tomas Kunzmann. The move reflects a broader trend among European insurers as AI adoption accelerates.

AI is reshaping insurers' cost structures and operating models by automating high-volume, rule-based work in claims, customer service, underwriting support, fraud detection, and document processing. In the near term, this can improve speed and consistency, lower expense ratios, and help address tight labor markets, while also pushing insurers to redesign workflows, consolidate roles, and invest in data quality, modern platforms, and model governance. At the same time, it increases risk and compliance demands since regulators and customers will scrutinise fairness and transparency in pricing and claims decisions, cyber risk grows, and over-reliance on automation can create resilience issues if systems fail.

Over time, insurers that combine AI with strong controls and workforce upskilling are more likely to improve risk selection, launch more tailored products, and deliver faster service. In contrast, providers that fall behind may face weaker customer retention and margin pressure.

"AI automation hits insurance jobs as Allianz plans cuts" was originally created and published by Life Insurance International, a GlobalData owned brand.