With the rapid pace of technological change, it’s easy to be unsure about the future of AI. Depending on the day, you might feel it’s too soon to adopt the technology or that you’ve already missed the boat.
That sense of uncertainty is one of the clearest messages from Vertafore’s 2026 Agency Trends Outlook: 46% of respondents said their independent agency was only somewhat prepared or not at all prepared to keep pace with technology and insurance market changes. Among agencies with six or fewer staff members, that rose to 55%.
The data suggests a lack of confidence, not an actual lack of preparation. Many agencies have a tech stack that serves their business. But the question is whether their tech stack can handle what comes next.
To stay on top of changes, agency leaders and insurance pros need to ask whether their tools work well together, support efficient workflows, and make it easier to respond as client expectations and market demands evolve.
What today’s insurance clients expect from agencies
Agency staff that feel unprepared should ask themselves what they need to be prepared for.
More than half of agency professionals said client communication will put high-performing agencies ahead of the competition this year. Another 39% said the most successful agencies will streamline operations so teams can work smarter.
Insurance policyholders reinforce the same ideas. Vertafore’s policyholder research found that nearly 90% want their agent involved when managing their policy. Eighty-three percent expect quick responses to their questions, and more than half want online or mobile access to account details.
Those findings point to a clear set of differentiators for agencies: responsive communication, operational efficiency, and convenient digital access that still feels personal.
To keep clients happy, agencies need to deliver both human service and a digital experience in a way that feels responsive, personal, and easy for the client.
How AI can help insurance agencies drive efficiency and improve service
AI is already changing how agencies think about efficiency, workflows, and service. For leaner agencies, the value of artificial intelligence is often in the places where manual work creates friction without adding value. Agencies are spending valuable time entering the same information more than once, managing renewals in spreadsheets, handling routine certificate requests, or tracking follow-up tasks across disconnected systems.
When it is used well, AI can help agencies automate routine work and save time. In addition, current AI tools can help surface relevant information and glean insights from client data, and deliver meaningful communications to clients when they need to see it. Both functions make agents more effective while keeping them at the heart of client interactions.
Agencies do not need to rebuild their tech stack to prepare for AI. They need a foundation that supports cleaner data, fewer handoff gaps, and technology that works where people already work. That flexibility makes it easier to adapt to new tools that solve real business problems and improve service.
How to evaluate your agency’s tech stack for flexibility and growth
Agencies looking to close the readiness gap should ask themselves, “What will help us operate with more confidence and flexibility?” An evaluation doesn’t require a full overhaul. Start by identifying friction in the workflows your team uses every day.
- Integration: Ask where your team still has to jump between systems, reenter data, or rely on spreadsheets to complete common tasks such as renewals or policy changes. If information gets stuck, duplicated, or lost between steps, your systems might not be working together as well as they should.
- Efficient workflows: Look for the processes that still depend on manual follow-up, duplicate effort, or employee workarounds. If a task relies too heavily on memory or repeated status checks, that is a sign the workflow needs better technology support.
- Better service: Evaluate whether your systems help staff respond quickly, follow up consistently, and give clients easy access to the information they need. If teams spend too much time hunting for answers or handling routine requests manually, both service and efficiency are taking a hit.
Build for adaptability
For growing agencies, adaptability starts with knowing where your current technology is helping and where it is holding you back.
A flexible tech stack makes it easier to reduce manual work, improve service, and add new capabilities without disrupting the workflows your team depends on. The best place to start is identifying the service tasks, handoffs, or recurring processes that create the most friction today.
That is the real opportunity behind the tech readiness gap. Agencies do not need to try to solve everything at once. They need a foundation that helps them stay responsive, support their teams, and make steady progress as the market evolves. The agencies that feel more ready in 2026 will be the ones that took practical steps to strengthen that foundation now.
To see what other agency professionals expect in the year ahead, and where they are placing their technology bets, read Vertafore’s 2026 Agency Trends Outlook.