The data: Nearly half of policyholders (49.5%) would take a 60-second AI claim payout over waiting for a person, but 61% want a human to review every denial, according to a Liberate survey fielded by Propeller Insights. Only 33% would accept a "no" from AI alone. 

Older policyholders resist AI across the board. Just 30% of those 60 and older would take an AI payout, and 83% want a human to review every denial, per Liberate’s survey.

Policyholders also want to know when AI is involved in their claims: 57% of policyholders want to be told every time AI is involved in their claim, and 29% only when AI makes a decision. 

Some of the appetite for AI payouts is fueled by frustration. 57% of policyholders had to fully explain their claims to two or more people. Those who repeated their story two or more times were likelier to accept an AI payout, 54% versus 43% of those who told it once or never. 

Implications for insurers: The survey points to a clear design rule—automate the yes, staff the no. Automating approvals, status updates, and document collection solves the capacity problems that lead to customer dissatisfaction, freeing adjusters for more complex calls. 

Denials require a person who can explain the reasoning and stand behind it, especially with older policyholders.

Carriers should build disclosure into the claim process from the start, since retrofitting transparency later carries a credibility cost. As AI accelerates claims processing, speed alone will become less of a competitive differentiator. Insurers will need to distinguish themselves through how they handle complicated or disputed claims, particularly when policyholders face financial losses. Giving customers a clear path to human review, explaining decisions in plain language, and proactively communicating next steps can help carriers build trust during some of the most consequential moments in the customer relationship.

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