House Subcommittee Reviews AI’s Role in Florida’s Insurance Industry
The role of artificial intelligence (AI) in the insurance industry is a relatively new concern, but it has already caught the attention of Florida’s lawmakers. A recent House Subcommittee hearing examined the role of this new technology in the state’s insurance world, and it provides a few clues on how the government will approach this issue in the future. If you’re struggling with a denied hurricane claim in Fort Lauderdale and you believe AI was involved, contact an experienced lawyer.
Lawmakers Consider New Bills to Prevent AI-Denied Property Insurance Claims
The main concern associated with AI in the insurance industry is simple: Is a piece of software going to deny your property insurance claim in Fort Lauderdale? If so, shouldn’t there be some kind of law in place to stop this from happening? Or at very least, shouldn’t legal frameworks prevent insurance companies from using AI as an excuse to deny perfectly legitimate claims? These are some of the questions explored during a recent hearing in Florida. The hearing involved the House Subcommittee on Insurance and Banking, and various representatives of the state’s insurance industry.
The insurance representatives painted a positive picture of AI, as expected. These individuals tried to present AI as a tool to “reimagine” or “restructure” the insurance industry, stressing that these tools simply help human workers rather than replacing them entirely. However, they did not deny the fact that AI is making certain decisions without human input. One of the main questions for the House Subcommittee members was whether new laws should restrict this practice.
Although lawmakers have suggested these laws in the past, none have passed so far. However, Florida could easily introduce these laws in the future, and insurance companies might be forced to stop using AI. The new laws would probably target the use of AI as the sole basis of denied claims.
Insurance Representatives Say That AI Could Lower Costs for Everyone
If there’s one thing everyone can agree on in Florida, it’s the importance of reducing insurance costs. Many homeowners are facing premiums that force them to consider self-insurance. Some are losing their homes or struggling to sell their properties. If there’s anything that we can do to lower these costs, most Floridians would probably be enthusiastic to learn more.
Insurance representatives noted that AI could speed up the industry and make it more efficient. This may result in many insurance employees losing their jobs, which would lower operating costs for the major insurance companies. But would this really translate to lower premiums for homeowners? That has yet to be seen, especially when you consider AI’s astronomical levels of power consumption.
Contact Our Fort Lauderdale Property Insurance Lawyers Today
At Geyer Fuxa Tyler, our legal team is made up of a diverse combination of attorneys who are well-positioned to protect the legal rights and financial interests of policyholders. If your property insurance claim was denied, we can help. For a free consultation, please call us today at (954) 990-5251. With an office in Sunrise, we represent policyholders in Broward County and throughout the state of Florida.
Sources:
wptv.com/money/real-estate-news/florida-lawmakers-examine-ais-growing-role-in-insurance-decisions
clickorlando.com/news/2025/10/07/insurance-industry-uses-ai-in-claims-handling-officials-tell-florida-lawmakers/