How to connect an AI agent to your policy administration system

Servicing goes to the agent; pricing, binding and cancellation stay with people. Connected to a policy administration system under its own identity, an agent can read cover, answer factual questions, make changes that alter neither premium nor cover, and prepare quotes and renewals using the rating engine. Premium-changing adjustments and cancellations are held; underwriting decisions never reach it.

What does the connection do, and who owns it?

A policy administration system (PAS) holds the insurer's contracts: quotes, policies, mid-term adjustments, renewals, cancellations, premiums and documents. It connects to a rating engine that calculates price and to underwriting rules that decide which risks are accepted. Servicing work, such as address changes, adding a named driver or issuing documents, is high volume and largely rule-based.

The head of policy operations owns the agent's servicing permissions. Underwriting owns acceptance and pricing rules. Compliance owns customer communications. The PAS administrator configures access. The general method is in how do you connect an AI agent to your systems?

What are the steps to connect it?

1. Person, head of policy operations: lists capabilities by transaction type, separating changes that alter premium or cover from those that do not.
2. Person, PAS administrator: creates the agent's identity with a servicing role built for it, without underwriting or override rights.
3. Person, underwriting lead: confirms the rating engine is the only source of price. The agent requests prices; it never calculates or adjusts them.
4. Person, head of policy operations: sets held actions and named approvers: premium-changing adjustments, cancellations and anything outside standard rules.
5. Person, compliance: approves templates for customer documents the agent may issue.
6. Agent, depth 1: runs in shadow on live servicing requests.
7. Person, head of policy operations: approves the agent's depth.
8. Person, PAS administrator: tests revocation and confirms pending transactions return to a human queue.

What is scoped per capability, and at what depth?

Mid-term adjustments are where most servicing volume sits; how to let an AI agent make mid-term changes in your policy administration system goes through them in detail.

Why do pricing and binding stay with people?

Price comes from the rating engine, which encodes the insurer's approved pricing. An agent that could adjust it, even slightly, would be pricing risks outside the approved model. Under the EU AI Act, risk assessment and pricing in life and health insurance is listed as high-risk, which adds obligations wherever the agent's role comes close to it. Binding cover outside standard rules, and accepting referred risks, is an underwriter's authority.

Cancellations are held because they involve refunds, cooling-off rights and the possibility that the customer is left uninsured without realising.

What is recorded?

The PAS records every transaction under the agent's identity. Each carries the verdict identifier from the agent's own record, which holds the customer's request and its provenance (a customer's statement of a new address is declared; a rating engine price is sealed), the bound that decided and the approver. Documents issued are stored with the template version.

Which controls make it safe?

Price only from the rating engine. Evidence: the rating request and response on each priced transaction.

Verified requester. Changes are made only after the customer is verified through the firm's standard checks.

Cover changes always held. Anything that alters what is insured waits for a person.

Effective dates checked. Backdated changes can create cover for events that already happened. The agent refuses backdating beyond a set limit and holds the rest.

Link to claims. A change requested shortly after a loss is a known pattern. If the policy has an open or recent claim, hold the change; see how to connect an AI agent to your claims system.

What should you measure?

Transactions by type and depth, corrections after agent changes, held adjustments by decision and time, backdating refusals, documents reissued after errors, and complaints linked to servicing by the agent.

Where does it usually go wrong?

The agent explains cover as advice. "You'd be covered for that" is a judgement on a specific claim. The agent quotes wording and directs claims questions to the claims team.

Backdating slips through. A request for a change "from last week" is applied without scrutiny.

Renewal invitations go out unreviewed. A renewal with a large price rise reaches a long-standing customer with no explanation. Hold renewals with significant changes.

Legacy products confuse it. Old policy wordings and rating rules the agent was not tested on behave differently. Scope by product and certify each.

Servicing and claims blur. A customer calling to change a policy mentions an accident. The agent should note it and route the customer to claims, not record it as a change of circumstances.

Where Pryme fits

In Pryme, the rating engine is a sealed source and a customer's statement is declared, so the agent's drafts carry the difference. Premium-changing adjustments and cancellations are held for named people. The deployment path is in deploying an AI agent: train, shadow, certify, widen.