The 2026 Client: Demanding the Hybrid Advantage

Is the future of insurance distribution high-touch or high-tech? According to Vertafore’s latest report, Policyholder Expectations for Independent Agents, the answer is unequivocally "both."

Data drawn from over 600 U.S. insurance clients reveals that the modern policyholder isn't looking to replace their agent with an app; they are looking for an agent who is empowered by one. While 90% of respondents still prioritize agent involvement for policy management, more than half demand the autonomy of online and mobile access.

The report highlights a critical "trust-plus-speed" dynamic defining 2026:

• The Need for Speed: 35% of clients now expect a response to inquiries within a single hour.
• The AI Equation: Policyholders are open to AI driving efficiency, provided there is transparency—85% want to know when AI is being used.
• The Engagement Gap: Only 21% of clients report receiving proactive outreach, signaling a massive opportunity for agents to use tech to scale their communication.

Ultimately, the winners in this landscape will be the agencies that can seamlessly blend deep industry expertise with the frictionless convenience of modern digital tools.

To dig deeper into how agents can operationalize these findings and close the engagement gap, we sat down with Alison Betts, Sr Director, Marketing Communications at Vertafore to discuss the report's implications.

1. What primary questions or challenges were you aiming to address for independent agents when you decided to commission this survey and write this report?
   
   Independent agents are under real pressure to retain clients and grow in an environment where client expectations are rising quickly. Our intent with this survey was to give agents a clear, data-driven view of what policyholders actually value today in their insurance experience—from how they want to work with an independent agent, to how quickly they expect answers, to how easily they want to access information. Just as important, we wanted to identify where those expectations are changing fastest, so agents can make informed decisions about where to focus their time, technology, and service models to stay competitive through 2026 and beyond.
2. Who was the intended audience (e.g., agency principals, producers, carrier partners, InsurTech leaders), and how did that shape the way you framed the findings?
   
   We wanted to put this data in the hands of agency producers, CSRs, and anyone shaping the day-to-day client experience at their independent agency. We framed the findings to be highly actionable because policyholder expectations are formed in routine interactions, not abstract strategy. By grounding insights in real client behaviors around communication, speed, digital access, and trust, the report helps agency teams understand how their individual roles directly impact trust and retention.

3. Which survey results surprised your team the most (for example, around AI comfort levels, expectations for response time, or the relatively low level of proactive outreach agents provide today)?

One thing that stood out: clients want both the expertise of their agent and the convenience of digital tools and online access to information. Some agents are concerned that tools like a client portal or automated communications will dilute their relationship with clients. These findings show that those tools are an additional touchpoint with clients, not a replacement for human interaction.

We were also surprised by the size of the gap between what policyholders expect and what they’re actually experiencing. Many policyholders want more frequent, proactive communication from their agent, but only about one in five say they get it. That disconnect was striking because it highlights how much opportunity exists to build trust and loyalty.

Regarding policyholders’ views on AI, comfort levels are mixed but not polarized. This reinforces that clear communication about data security and transparency around AI use can meaningfully strengthen trust with clients.

4. If you had to pick two or three findings that you believe are the most immediately actionable for independent agents, which would they be and why?

One of the most actionable findings is around proactive communication. Policyholders consistently say they want more outreach. The challenge for agents, of course, is finding the time, and that’s where technology comes in. Automated communication tools, especially those that integrate with the agency’s management system, make it easier for agents to connect with clients at scale. We’re seeing agents use these tools to share information about market changes, risk management, or life events. Technology makes it possible for agents to create regular touchpoints without adding staff or a lot of work.

Another clear takeaway is the importance of an agent’s digital presence. As more consumers—especially younger policyholders—go online to find an agent, keeping websites, listings, and reviews current can directly impact discoverability and credibility. Here, again, technology can make that manageable. Agents can score a quick win by leveraging a sales automation solution to drive online reviews. A bank of 5-star Google reviews can drive your digital visibility and provide the social proof many prospects expect. Other solutions make it easy to embed quoting capabilities within your website and social media. These tools—generally an add-on to rating and quoting tools— allow clients to see rates from multiple carriers while capturing lead information for you.
Implications for agent strategy and operations

5. Based on the research, what are the top strategic changes you believe independent agencies should prioritize in the next 12–24 months (e.g., client portals, communication cadences, AI-enabled workflows)?

The research shows that independent agencies should prioritize improving communication speed and consistency over the next 12–24 months, because that’s where client expectations are rising fastest—and where gaps are most visible today. Policyholders repeatedly pointed to faster responses, more proactive outreach, and easier access to their agent as defining factors of a good experience, which directly ties to retention and trust. Investing in client portals, defined communication cadences, and AI-enabled workflows matters because these tools help agencies meet those expectations at scale without adding headcount. When routine tasks and prioritization are automated, agents gain back time to focus on what clients value most: advice, clarity, and personal relationships.

6. How do you see these findings influencing how agencies should balance human touch vs. digital self-service?

The findings reinforce that there isn’t a choice between human service and digital self-service—clients expect both, working together. Policyholders want easy, 24/7 access to information for simple tasks, but they still rely on agents for guidance, reassurance, and decision-making, especially at important moments. The agencies that balance their expertise with digital access will meet client expectations without sacrificing the personal relationships that make independent agents stand out.

7.Given that 85% of policyholders want transparency when agents use AI, what practical guidance would you offer agencies on how to communicate about AI use with clients?

Policyholders are sending a signal that trust depends on clarity, especially when new technology is involved. They’re generally open to AI when it delivers real value, but they don’t want it operating invisibly or without explanation. Agencies should lead with simple, plain-language explanations of where AI is used, how client data is protected, and how it supports faster service or better outcomes. Framing AI as a behind-the-scenes assistant—not a replacement for human expertise—helps reinforce confidence and preserves the advisor relationship clients value most.

8. Were there areas where the survey raised more questions than it answered, topics you would like to explore in future research (e.g., differences by demographic segment, commercial vs. personal lines, or regional variations)?

We focused this survey on clients with personal lines coverage, but commercial clients have different needs and expectations. Expanding this research to commercial lines would uncover differences that would help agents tailor their approach across their business.

9. How do you expect policyholder expectations to evolve between now and 2028, and are there early signals from this study that agents should be watching?

Looking ahead to 2028, policyholders are likely to expect even more guidance as insurance decisions become more complex due to rate volatility, climate-related risks, and shifting coverage options. As these pressures increase, consumers will need an agent who can proactively help them navigate trade-offs and find the best value. This study already signals that shift: nearly 90% want an agent involved in managing their policy, even as digital tools become more common. Agencies that invest now in technology to support timely advice, scenario planning, and proactive outreach will be better positioned to meet rising expectations without losing the personal trust that keeps clients loyal.

10. In what ways are the insights from this report informing Vertafore’s own product roadmap and partnerships, particularly around client portals, communication tools, and AI capabilities?

These insights validate where we’ve already invested and where we are heading. Agencies need technology that removes friction so they can focus on advising clients, not managing manual tasks. That’s a key part of our strategy with AI, data science, and embedded automation—specifically tools that surface priorities, streamline communication, and support faster, more informed client interactions. That’s why our roadmap continues to focus on integrated communication tools and AI-enabled workflows that live inside the systems agents already use. With our connected platform, AgencyOne, agencies can bring data, conversations, and intelligence together in one place—helping them meet rising client expectations without adding complexity or workload.

11. If an agency leader reads this report and wants to take one “first step” using Vertafore tools to align with these expectations, what would you recommend that step be?

A strong first step is to look at how well your current technology works together and identify where disconnected systems are slowing your team down. The report shows that clients care most about speed, accuracy, and consistency—and those break down quickly when data lives in silos. Vertafore’s tools like InsurLink and Vertafore Client Communication are designed to connect directly to the agency management system, creating a more unified workflow. When systems talk to each other, agents spend less time chasing information and more time delivering the responsive, seamless experience policyholders expect.