Closing the Gap: How AI Supports Sum-Insured Adequacy and Underinsurance Checks for GCC Insurers

Underinsurance stays invisible until a claim, when the condition of average cuts the payout. This article shows how OCR/IDP, RAG and agentic AI help GCC insurers test every declared sum insured and statement of values against replacement cost and indexation before binding — flagging the gap and the average-clause impact for an underwriter to decide, while the underwriter still owns the sum insured.

This InsurTech Gulf article discusses insurance technology, underwriting operations, and market developments relevant to insurers and brokers in KSA, the wider GCC, MENA, and international markets. It is part of the site's ongoing coverage of underwriting automation, digital insurance workflows, and practical implementation trends in insurance software.