Insurance Claims Adjusters Are America's Biggest AI Haters, and They Have Good Reasons
New Glassdoor research shows 98 percent of claims adjusters who mention AI in their reviews are negative about it. Here is why, and what it means for anyone who has ever filed an insurance claim.
Key points
- Claims adjusters are the most AI-critical workers in the US workforce, with 98 percent of their AI-related Glassdoor reviews negative, according to Glassdoor research published in 2025.
- Employment among insurance claims adjusters fell 21 percent between May 2025 and May 2026, according to Bureau of Labor Statistics data.
- Entry-level adjuster job postings have dropped 50 percent since 2025, per Glassdoor.
- Lemonade, the insurance company founded in 2015, handled 96 percent of initial claims through its chatbot, AI Jim, by the end of 2024, with automation processing roughly 55 percent of all claims.
- AI hallucinations, meaning errors where the AI confidently produces wrong information, are leaving adjusters to clean up mistakes that angry customers blame on them.
If you have ever filed an insurance claim and felt like something went sideways, there may be a very specific reason. The people who handle those claims are furious about the AI tools being dropped into their laps, and the data to back that up is striking.
Glassdoor's senior economist Chris Martin was not expecting this. When his team crunched the numbers on which workers complain about AI most, claims adjusters came out on top by a mile. Of all adjuster reviews that mentioned AI, 98 percent were negative. Martin told Wired he did a double take before he started digging deeper.
What is going wrong on the ground?
AI is making errors, and the adjusters are the ones customers blame for them. Ahmad Jackson worked in a major insurer's claims department about a year ago, when the company rolled out AI for initial loss reporting, the process of setting up a claim and collecting details when someone first reports an incident.
The AI was supposed to simplify things. Instead, Jackson says, it misclassified claims constantly, sending them to the wrong departments. It also produced hallucinations, a term for when an AI system invents plausible-sounding but completely false information. When Jackson passed those summaries along to claimants or their lawyers without spotting the errors, he faced the fallout. He quit not long after.
"AI is getting things wrong," Jackson says. "And it's implementing more work onto the adjusters."
Sandy Avina, a former adjuster now working as an insurance consultant, puts it plainly: adjusters do not have "a lot of faith in the output." A smudge on a scanned document can trip the AI into producing a wrong figure. A missing detail in a summarised medical report can lead to an incorrect payout. The customer rarely suspects the AI. They blame the adjuster.
Are adjusters actually losing their jobs to AI?
Yes, and the numbers are sharp. The Bureau of Labor Statistics had forecast a 5 percent fall in adjuster jobs over the coming decade, but the real drop has moved far faster. Employment in the sector fell 21 percent between May 2025 and May 2026. Entry-level openings have collapsed by half since 2025.
AI startups like Liberate and Pace have raised millions of dollars promising to remake claims handling. Lemonade, founded in 2015, built its whole model around it. By late 2024, its chatbot AI Jim was taking initial reports 96 percent of the time, with automation handling roughly 55 percent of all claims from start to finish, including payout, in seconds.
Geoffrey Conrad, a claims executive in Mobile, Alabama, says his profession feels the pressure clearly. "AI is just a tool," he says. "It should never be given the keys."
| Metric | Figure | Date |
|---|---|---|
| Adjuster AI reviews that are negative | 98% | 2025 |
| Drop in adjuster employment | 21% | May 2025 to May 2026 |
| Fall in entry-level postings | 50% | Since 2025 |
| Lemonade claims handled by AI Jim initially | 96% | End of 2024 |
| Lemonade claims fully automated | ~55% | End of 2024 |
What does this mean if you file a claim?
You may already be talking to a chatbot instead of a person. You may get an AI-generated payout estimate based on photos rather than an in-person inspection. If something looks wrong on your claim, it may trace back to an AI error that nobody caught.
Conrad knows what it feels like to be on the other side. Twenty-five years ago, before he entered the industry, his house burned down completely. "I needed somebody to make sure that I'm OK, my family's OK, that we're safe," he says. The idea of getting an AI-generated photo estimate for a total loss, he says, would have been devastating.
Adjusters and AI can coexist, Jackson says. He finds it useful for straightforward admin tasks, like extending a rental car booking on a simple claim. The problem is when AI becomes a replacement rather than a helper.
"I think that's a dangerous strategy," Conrad says.
Common questions
Will AI handle my next insurance claim?
Possibly, at least the first part. Many insurers now use chatbots or automated tools for initial reporting and simple claims, while more complex cases still go to human adjusters. It varies by company.
What should I do if I think my claim has an AI error?
Ask to speak with a human adjuster and request a written explanation of any decision. Keep your own records, including photos, receipts and correspondence, so you can challenge any figure that looks wrong.
