Why Insurance Firms Choose Human Over AI in Language Services

Many industries - in the age of artificial intelligence - are adopting automated solutions, but for the insurance sector, when it comes to language access, human expertise still reigns supreme.

The Rise of AI in Insurance—and Its Limits

Insurance companies are embracing AI across many functions, from chatbots to fraud detection. Language translation and interpreting services are no exception. Tools like machine translation and AI-driven transcription software promise speed and affordability. But these benefits often come at the expense of clarity, accuracy, and compliance—three essentials in the insurance world.

Unlike retail or hospitality, insurance conversations often involve sensitive personal data, legal disclosures, and life-altering decisions. Automated tools struggle with context, cultural nuance, and industry-specific terminology. A single mistranslation in a disability claim or accident report could lead to legal liability, customer distrust, or regulatory scrutiny.

Where AI Falls Short in Insurance Language Services

AI translation engines can be useful for casual content or internal use, but when policies, benefits, or claim decisions are on the line, accuracy is critical. Common issues include:

• Lack of context: AI can’t detect sarcasm, double meanings, or culturally sensitive phrases.

• Terminology mismatches: Insurance jargon is complex. AI often mistranslates terms like "deductible," "policyholder," or "premium limits."

• No real-time clarification: AI can’t ask questions, clarify intent, or adapt to tone.

• Poor support for rare languages: Many AI tools underperform in low-resource or Indigenous languages.

This is especially problematic for insurers serving diverse populations—where trust and compliance are non-negotiable.

The Human Interpreter Advantage

Human interpreters and translators bring more than just fluency—they bring judgment, ethics, and deep industry knowledge. Qualified insurance linguists:

• Understand policy and regulatory language

• Know how to phrase sensitive or complex clauses

• Adjust tone based on the situation (e.g., claims disputes vs. policy onboarding)

• Ask clarifying questions in real-time (especially during over-the-phone or video remote interpreting sessions)

These strengths are particularly crucial in:

• Multilingual call centers

• Claim interviews and investigations

• Disability or life insurance assessments

• Emergency support during natural disasters

Compliance and Risk Mitigation

In the insurance sector, language errors can be costly. Misinterpreted policies or inaccurate translations can lead to:

• Regulatory violations (HIPAA, ADA, state laws)

• Denied claims or lawsuits

• Miscommunications that erode customer trust

That’s why many firms choose professional interpreters who meet compliance requirements, use approved glossaries, and are trained in insurance-specific ethics and confidentiality.

At Ad Astra, all interpreters and translators working with insurers are:

• Qualified in financial and insurance terminology

• Bound by confidentiality agreements

• Trained in compliance with regulatory frameworks

Real-Life Example: A Claims Disaster Averted

An insurance firm once used AI to translate a life insurance denial letter into Tagalog. The result was a confusing, cold-toned message that led to a social media backlash. After switching to Ad Astra’s human-led translation service, the company saw a 45% decrease in complaint escalations and improved customer satisfaction scores.

Integrating Human Services into Digital Workflows

Just because a service is human doesn’t mean it’s slow. Ad Astra integrates human interpreters and translators into digital-first workflows, offering:

• Over-the-Phone Interpretation (OPI): Rapid access to live interpreters across 300+ languages.

• Video Remote Interpreting (VRI): For policy consultations, claims assessments, and virtual meetings.

• Document Translation: For policies, benefit summaries, appeals letters, and marketing materials.

• Platform Integration: Secure access via Ad Astra Connect, with scheduling, time logs, and compliance tracking.

Final Thoughts

AI has its place in insurance, but not when trust, accuracy, and compliance are on the line. For claims processing, customer service, and multilingual policy documentation, nothing beats the insight of a qualified human interpreter.

Want to protect your clients and your reputation?

Partner with Ad Astra for compliant, human-first language solutions tailored for the insurance sector. Book your free consultation today.