AI is everywhere you look now, from headlines to boardroom strategy sessions. But not every claim about it holds up under scrutiny.
In subrogation, that distinction matters. Carriers need tools that actually speed up recoveries, reduce costs, and improve accuracy—not just buzzworthy headlines. According to a 2025 industry report, 82% of insurance leaders name AI a top business priority, but only 22% have successfully deployed solutions at scale.That gap shows just how critical choosing the right use cases is.
In this blog, we’ll cut through the hype and explore real ways AI is already making an impact.
If you’ve followed the headlines, you’ve probably seen bold predictions like “AI will replace adjusters” or “claims will soon run entirely without human involvement.” These sweeping statements create excitement, but they often oversimplify how complex subrogation really is.
No two subrogation claims look the same. Each claim involves legal nuances, data quality issues, and judgment calls that can’t be solved by algorithms alone. That’s why the industry needs a measured, realistic approach and one that looks past the hype and focuses on where AI can genuinely make an impact today.
While AI won’t replace adjusters or recovery specialists, it’s already making an impact in specific, practical ways:
AI can quickly scan and sort large volumes of claims documents, pulling out key details like dates, policy numbers, and loss types. This reduces the hours spent on manual intake, decreases errors, and allows recovery teams to start work faster.
Analyzing data across thousands of claims, With the ability to analyze thousands of claims at once, AI brings hidden recovery opportunities to the surface. This helps carriers identify high-value opportunities and avoid wasted effort.
AI models can forecast the likelihood of recovery on a given claim, helping carriers prioritize resources. By knowing which claims are most likely to produce results, teams can allocate time and budget more strategically.
Carriers that have started using AI in subrogation are already reporting measurable improvements:
As powerful as AI can be, it’s not a silver bullet. Carriers should be aware of a few important limitations:
AI isn’t a magic solution that can transform subrogation overnight. But when it’s applied strategically, it becomes a powerful tool for streamlining processes, uncovering recovery opportunities, and helping teams work more efficiently.
At NSB, we help carriers cut through the noise and focus on what works. Our role is to guide organizations in adopting AI tools the right way, aligning technology with real-world recovery strategies so carriers see measurable results, not just promises.
AI in subrogation comes with plenty of hype, but the real value lies in practical applications. From automating document review to detecting claim patterns and using predictive analytics, carriers are already seeing faster cycle times, lower costs, and better accuracy.
The key is to look past flashy promises and focus on solutions that deliver results today.
At NSB, we help carriers navigate this shift by applying AI where it makes the most impact and pairing technology with the human expertise that subrogation still requires.
Ready to separate hype from reality? Connect with NSB to explore how AI can drive stronger, smarter recoveries for your organization.