A Year in Review for Insurance: How 2025 Reshaped the Claims Journey
As 2025 comes to a close, the insurance industry finds itself at the center of a shift, driven by rapid technological advancements, heightened customer expectations, and a focus on operational efficiency.
This year, HOMEE continued to help carriers, adjusters, and policyholders adapt to these changes with smarter automation, AI-powered triage, strengthened repair networks, and real-time transparency.
Here’s a look back at the major forces that shaped the insurance landscape over the past year and what they mean moving forward.
1. The Advent of Agentic AI & Its Adoption
If 2024 was the year insurers explored AI’s potential, 2025 became the year they moved to adopt AI in real-world applications.
Agentic AI, which refers to AI systems that perform tasks, plan, and help make decisions with minimal human intervention, is transforming claims processing, underwriting, and customer support.
While widespread integrations are still limited, Agentic AI is giving forward-looking carriers a competitive advantage by assisting with:
- Claim classification for better triage and routing
- Policy coverage interpretation recommendations
- Fraud detection and claims analysis
- Automated communication with policyholders
- Prediction and risk assessment modeling
Rather than replacing adjusters, AI’s role is to eliminate repetitive, mundane tasks so carriers can focus on complex, empathy-driven decision-making.
At HOMEE, AI continues to enhance the speed and accuracy of claim triage and contractor assignment, providing carrier partners with consistent, high-quality information that integrates directly into their workflows.
In a matter of a few minutes, HOMEEʼs Claim Distribution Automation uses AI to process data, apply rules, assign the right service providers, and communicate to policyholders, allowing for more efficient processes, better responses, and faster resolutions.
To learn more, read our guide on Agentic AI.
2. CAT Activity Emphasized the Need for Proactive Models
In 2025, we didn’t see any major hurricanes; however, severe weather still tested the resilience of everyone in the claims ecosystem. The frequency of CAT events continued to rise, including a severe tornado season and the devastating wildfires in California, emphasizing the importance of proactive models in claims operations.
As a result, insurers leaned on digital ecosystems, such as virtual inspections, automated triage, and managed contractor networks, to close claims faster and maintain customer satisfaction during surge periods. Instead of responding to CAT volume, leading carriers used data to prepare, allowing them to adapt without compromising accuracy or speed.
At HOMEE, our tech solutions are helping carriers prepare for extreme weather events:
- HOMEE ProActive uses geo-intelligence to alert carriers when events (like wind, hail, and flood) impact high PIF areas for pre-claim inspections, reduced fraud, and accurate underwriting.
- Automated scope recommendations from field data, aerial imagery, and inspection insights provide predictive analytics.
- Geo-aware vendor deployments and geofenced assignments align capacity with CAT impact zones.
3. Customer Expectations Hit an All-Time High
In today’s digital world, customers are used to on-demand resources and personalized experiences. This year, the gap between traditional claims processes and policyholder expectations widened.
Customers now expect:
- Real-time visibility into claim status
- Fast, digital-first experiences
- Proactive communication instead of reactive updates
- Trusted and vetted contractors and carrier support
- Resolution in days, not weeks
This shift placed pressure on carriers to adopt new technologies and streamline workflows. HOMEE offers end-to-end digital claims experiences to its partners, reducing friction for both policyholders and adjusters.
4. Workforce Challenges Continued to Reshape Claims Operations
Staffing remained a concern for the insurance industry in 2025. Insurance Journal reports that attracting, hiring, and retaining young talent has presented a challenge. This lack of new interest means there are not enough hires to replace retired workers, even in a slower than typical claim volume year.
As a result, carriers questioned how they can maintain quality and speed without relying solely on expanding headcount.
The solution for many included:
- Outsourcing desk adjusting and field inspections
- Implementing automation to reduce adjuster workloads
- Leveraging external contractor networks
- Using AI to accelerate decision support
In response to this challenge, at HOMEE, we help our partners blend technology, partnerships, and human expertise.
5. Regulatory Scrutiny Increased (Especially Around AI)
With AI now part of the claims process, a greater emphasis was placed on transparency, fairness, and explainability. Carriers have been building AI governance frameworks that ensure:
- Models are bias tested
- Decisions are explainable, reducing hallucinations
- Data is secure and compliant with the industry standards
- Human oversight remains firmly in place
Carriers that embraced responsible AI found themselves better positioned to scale tools safely and confidently.
HOMEE supported partners by ensuring the technology behind automated triage, routing, and contractor assignment remained compliant and transparent, giving carriers confidence in both the process and outcome.
6. The Push for End-to-End Digital Claims Became a Priority
In 2025, we saw a move toward end-to-end digital claims ecosystems, where communication, documentation, inspection, and estimating are part of one connected workflow.
Carriers sought solutions that:
- Integrate easily with existing claims management systems
- Automate the handoff between each phase of a claim
- Reduce disconnected workflows that devour healthy cycle performance
HOMEE’s property claims management platform provides these solutions, reducing friction between FNOL, triage, and repair to create a more seamless, predictable, and cost-effective experience.
7. Repair Networks Became a Strategic Advantage
The contractor shortage continued in 2025, making access to qualified and vetted contractors a challenge in property claims.
An aging workforce, combined with a lack of new talent to replace retiring workers, has made it difficult to keep up with growing demands. This has resulted in significantly higher labor costs, claim costs, and premiums, as well as repair delays.
This trend reinforced the need for platforms like HOMEE that bring together:
- Verified tradespeople across all specialties
- Real-time availability and job matching
- Work-order automation
- Quality assurance and performance tracking
HOMEE’s nationwide vetted Pro network connects insurers with contractors and streamlines the process of damage assessment, estimate creation, and approval management for minimal hassle.
8. Fraud Prevention Became More Sophisticated
With claims increasing in severity and frequency, fraud prevention became more important than ever. Carriers adopted new technologies to detect unusual patterns and flag suspicious claims early. AI helped identify:
- Inconsistent damage descriptions
- Duplicate claims across carriers
- Unusual estimating patterns
- Contractor quality anomalies
By integrating fraud insights into claims workflows, insurers reduced leakage and strengthened security.
Looking Ahead
In 2025, the insurance industry moved toward a digital-first future. This trend is set to continue in 2026. The carriers winning in this new environment are those that:
- Embrace automation
- Partner strategically with technology providers
- Invest in a customer-focused design
- Build scalable, resilient operations
- Combine AI with human expertise to support claims staff
At HOMEE, we’re proud to partner with insurance carriers who are modernizing their property claims experience. As we head into 2026, our focus remains on helping carriers create faster, smarter, and more transparent claims ecosystems.
To streamline your claims process for more efficient, empathetic service, contact HOMEE.