Recent graduates are significantly more willing than the general population to use AI for insurance research, but that openness hasn't yet translated into trust in AI's actual recommendations, according to Nigel Branker (pictured), CEO of Securian Canada.
Branker said the pattern fits a broader theme across the underserved groups Securian Canada has studied, including gig workers and newcomers to Canada, who tend to value financial protection highly but face real barriers to getting information and advice. He said the research consistently shows people in these groups turning to self-serve digital tools to research products and make plans, often because traditional channels haven't served them well.
Recent graduates stand out within that group because so many are making major financial decisions alone for the first time, without the built-in support that comes from a partner or prior experience navigating insurance.
"Two-thirds of recent graduates are single compared to 28% of Canadians overall," Branker said. "And that means that 61% of them make decisions independently. So there's a lot of first-timers making decisions, and making them on their own."
According to Securian Canada's research, 38% of recent graduates are either already using AI for insurance-related research or would consider doing so, compared to 26% of Canadians overall. Branker said that openness doesn't carry over to trust in AI's actual recommendations, which comes in roughly on par with the general population rather than ahead of it.
"About 23% would trust it, compared to 21% of the broader Canadian population," Branker said. "So openness to usage is higher, but trust on recommendations is comparable, and not high."
Experience with the technology appears to be the biggest factor separating recent grads who trust AI recommendations from those who don't, Branker said. Trust roughly doubles among recent graduates who have previously used AI for insurance research, compared with those who haven't, and he noted the same pattern shows up along other lines as well, including a gap between men and women.
"We do see the trust increases to about 44% if people have used it previously for insurance recommendations," Branker said. "That's for recent grads, and that compares to about 28% for the broader population.”
Despite that openness, Branker said Securian Canada sees AI as one part of a broader financial plan rather than a substitute for it, largely because AI-generated recommendations can struggle to account for an individual's full context and personal circumstances.
"It doesn't always distinguish between credible expert guidance and less reliable sources," Branker said. "We definitely encourage Canadians, and especially this segment, to use it responsibly in their planning, but also use critical thinking and trusted advice."
That distinction is shaping how Securian Canada designs its own products for this group, Branker said, rather than just how it talks about AI. He said a lot of existing insurance products and processes were built for a different era, and don't reflect the barriers younger, independent buyers actually face today.
"There's this idea of what people actually need at that stage of their life, and how we make it easy for them to get it," Branker said, pointing to friction points like requiring an in-home nurse visit for basic underwriting as an example of the kind of process his team is trying to simplify.
Branker illustrated where he sees AI's limits using a comparison to trip planning. Asking an AI tool to plan a trip to Italy will produce a polished itinerary in seconds, he said, but a more useful result depends on the traveller first providing detailed context about their own preferences, something many users skip entirely.
"In a travel instance, the smarter way to use it is to say, well, you should ask me 20 questions about what do I like to do on a trip. Am I active? Do I like food? Do I like beaches?" Branker said. "I think a lot of people stop at the first level, which is 'plan me a trip,' without spending the time to explain context."
That same gap, he said, is where human financial advice becomes essential for recent graduates weighing insurance decisions, particularly ones involving significant judgment calls.
"Decisions like how much insurance to buy, a lot of context matters," Branker said. "That's where critical thinking, expert advice and looking at a problem through different lenses is helpful."
