Insurance claims from catastrophic events have increased by nearly 50% over the past five years in Australia, with claims expected to grow by around 5% every year until 2050, according to data from CSIRO. What’s more, 5.6 million Australian homes are at some level of bushfire risk and 1.36 million properties are exposed to flood risk. It’s a worrying picture, especially for the restoration space.
But there is a light at the end of the claims tunnel - and it’s come in the form of AI. In a recent interview with Insurance Business, Emily De-Gregorio, General Manager - Operations, Kate Kelleher-Beitans, Compliance Support Specialist, and Hannah Blaber - Business Systems & Technology Manager - all from JP Flynn, revealed just how AI is changing the way insurance restoration companies assess damage, estimate costs and manage claims.
“AI is improving the speed, consistency, and accessibility of assessments, estimating and claims management,” added Kelleher-Beitans. “It can streamline triage, reporting, documentation, and scope development, helping teams identify risks earlier and move claims forward more efficiently. Its greatest value is not in replacing people, but in creating more time for them to focus on customers and complex decisions.”
For JP Flynn’s team, they believe that the future of insurance restoration will be defined by the combination of technology and people. Because while AI can enhance efficiency, consistency, and decision support, it cannot replace the expertise needed to assess complex damage, ensure site safety, deliver quality repairs, or guide customers through what is often one of the most challenging experiences of their lives.
“At JP Flynn, we believe that human expertise will always remain at the centre of our industry,” explained Emily De-Gregorio - General Manager – Operations. “The organisations that succeed will be those that invest in their people and use AI to enhance, not replace, their knowledge, judgement, and ability to deliver exceptional outcomes for customers.”
And the data certainly agrees. Sixty-three percent of consumers prefer human interaction when purchasing insurance, even though 81% are open to virtual assistants for basic help, according to Swiss Re's Global AI Perception Survey.
For JP Flynn’s team, it’s about balancing innovative and emerging tech with that all-important human touch. And inherently understanding what can be automated - and what should never be. However, with that in mind, Blaber told IB that there’s certain trends that will be quietly reshaping the insurance restoration industry over the next five years.
“Tools such as AI-powered scoping platforms can standardise scopes and costings and reduce administrative effort while leveraging years of industry knowledge and data,” added Blaber.
“Scoping tools are already improving consistency and efficiency by reducing repetitive administrative work and standardising repair methodologies. Just as importantly, they help ensure scope lines and terminology are presented in clear, consistent language that is easier for insurers, claims teams and customers to understand. This reduces the risk of technical jargon creating confusion, delays, or differing interpretations of repair requirements, resulting in a smoother claims experience for all parties.”
What’s more, AI-enabled remote assessment technology could also create major opportunities, particularly in regional and remote locations where access to qualified assessors may be limited.
“Guided video inspections, supported remotely by experienced professionals, can allow damage to be assessed and triaged earlier,” added De-Gregorio. “Drones, satellite imagery, and geospatial intelligence can further assist with CAT response, difficult access properties and large scale damage assessment.
“These technologies can reduce travel and scheduling delays, improve access to service and support earlier decisions about emergency works, specialist requirements, repair pathways, and claim progression.
As Kelleher-Beitans went on to tell IB, AI is also enhancing claims management through capabilities such as sentiment analysis and predictive risk identification. These tools can help identify vulnerable customers, communication concerns or claims at risk of escalation, allowing businesses to intervene earlier and allocate the appropriate support.
“Technologies that improve communication and collaboration across insurers, service providers and customers will be equally important. Faster information sharing, real time reporting, and more accessible documentation can improve visibility, reduce duplication, and keep all parties better informed throughout the claim journey.
“At the same time, technology must be implemented responsibly. AI should support decision making, not replace it. Insurance restoration will continue to rely on experienced people to assess site specific conditions, exercise professional judgement, manage safety and quality, and remain accountable for decisions and customer outcomes.”
In the restoration realm, AI is being used to help improve the speed and consistency of property repairs while still maintaining quality workmanship. It’s a delicate balance - that use of innovative tech while still adhering the accuracy that the sector demands. Research also shows that 64% of Australian construction organizations are already investing in digital technologies, with AI-based progress monitoring helping one major industrial construction program avoid approximately four weeks of construction delay per facility.
“AI can improve repair outcomes by reducing administrative burden, standardising key processes and improving the quality and consistency of information across each project,” added Blaber. “Tasks such as scope generation, reporting, customer communication, and document review can be completed more efficiently, giving teams more time to focus on repair delivery, technical decision making and customer support. It can also strengthen quality assurance by checking documentation, identifying omissions or inconsistencies, supporting structured inspections, and guiding final walkthroughs. Used effectively, AI can help surface issues earlier, reduce avoidable rework and support more consistent outcomes across different teams, trades, and locations.”
And yet, as Kelleher-Beitans told IB, quality workmanship still depends on experienced people applying practical construction knowledge, assessing site specific conditions, and overseeing the repair from commencement through to completion.
“At JP Flynn, we believe that AI should identify, organise, prepare, and compare, where qualified people should inspect, decide, authorise, and remain accountable,” Kelleher-Beitans added. “Our objective is not to reduce controls or replace professional judgement. It is to provide better information earlier, improve visibility throughout the repair and remove administrative friction so people can focus on delivering safe, high quality repairs and a better customer experience.”
However, it’s not all plain sailing - in this sector there’s a myriad of concerns and challenges that go hand in hand with the deployment of AI. And if a business fails to get the backing of their people, the project is doomed to start before it has even begun.
“One of the greatest challenges is ensuring technology is adopted in a way that supports people rather than disrupts them,” explained De-Gregorio. “Effective change management, practical training, and confidence in new systems are critical, particularly in a traditionally relationship driven industry.
“Many insurance and restoration businesses also have geographically dispersed teams working remotely across multiple sites. Digital tools therefore need to be simple, accessible, and designed around real operational workflows. Technology should make day to day work easier, not introduce additional steps or complexity.”
Governance is another key consideration. As Blaber told IB, AI tools must be appropriately validated, comply with privacy and data protection requirements, and be used in line with regulatory and industry expectations. And as adoption increases, protecting customer and claim information must remain a priority.
“AI also creates emerging fraud risks,” Kelleher-Beitans. “More sophisticated tools may be used to generate misleading claim information, altered evidence or disingenuous claim submissions. Strong controls, verification processes, and human oversight will become increasingly important.”
At JP Flynn, they believe AI delivers the greatest value when combined with sound judgement, robust governance and experienced people who remain accountable for decisions and customer outcomes.
“We have spent almost 40 years building trusted customer relationships,” added Blaber. “We know that empathy, communication, and experience remain the foundations of exceptional service, and these qualities must stay at the centre of any successful digital transformation.”
And, as AI becomes more widely adopted, the question for insurers really remains the same - how can they work together with contractors and technology providers to deliver the best outcomes for policyholders?
“AI should be used to reduce administrative burden and improve the flow of information, allowing people to focus on the activities that create the greatest value for customers - making informed decisions, delivering quality repairs, and providing empathetic support throughout the claim journey,” explained De-Gregorio.
“The best outcomes will come from collaboration, transparency, and a shared focus on the customer experience. Insurers, contractors, and technology providers each bring different strengths, and AI can help create stronger connections between them by streamlining information sharing, improving visibility, and reducing administrative friction.”
“Essentially, as JP Flynn’s team told IB, technology should be used to make claims easier to manage, not more complex, while keeping people at the centre of the process.
“At JP Flynn, we believe AI should strengthen the human relationships that underpin successful insurance restoration,” added De-Gregorio. “After almost 40 years in the industry, we know that combining our expertise and experience with insurer insight and technology capability is the best way to deliver a more transparent, efficient, and customer-focused claim experience.”
This article was created in partnership with JP Flynn
