Can Insurance Agents Use AI for Marketing? A Compliance Guide

Direct Answer Summary

Yes, insurance agents can use AI for marketing, and regulators increasingly expect the industry to adopt these tools responsibly. The NAIC Model Bulletin on Artificial Intelligence, adopted in December 2023 and now enacted in 24 states, does not prohibit AI use but requires proper governance, supervision, and human oversight. The key principle: AI can draft, suggest, and distribute content, but a licensed professional must review and approve every piece of marketing before it reaches the public. Agents who implement structured review workflows, maintain archival records, and verify AI-generated content for accuracy can use AI tools compliantly and confidently.

Why This Matters

AI marketing tools are reshaping how insurance agents generate leads, nurture prospects, and maintain client relationships. From automated social media posts to AI-generated email campaigns, these tools save time and increase reach. But for licensed insurance professionals, every public-facing communication is subject to advertising regulations.

The stakes are significant. State insurance departments can impose fines, suspend licenses, and issue cease-and-desist orders for misleading advertisements. FINRA can censure and fine firms for unapproved communications. An AI tool that generates a post promising “guaranteed approval” or “tax-free income” without proper qualification could trigger an enforcement action, even if the agent did not write the language personally.

The question is not whether agents should use AI. It is how to use it without creating regulatory exposure.

What Regulators Say

The NAIC Model Bulletin (December 2023)

The National Association of Insurance Commissioners adopted the Model Bulletin on the Use of Artificial Intelligence Systems by Insurers on December 4, 2023. As of early 2026, 24 states have adopted this bulletin with little to no material changes, including Connecticut, Pennsylvania, Maryland, Massachusetts, New Jersey, and New York.

The bulletin establishes several foundational principles:

Insurers and producers must comply with all existing insurance laws and regulations when using AI, including prohibitions against unfair trade practices.

Decisions supported by AI must not be “inaccurate, arbitrary, capricious, or unfairly discriminatory.”

Organizations using AI must implement a written AI governance program proportionate to the risk involved.

Third-party AI vendors must be subject to contractual oversight, including audit rights.

For agents, this means that using an AI tool to create marketing content is permitted, but the agent remains fully responsible for the accuracy and compliance of that content.

FINRA Guidance (Rule 2210)

For agents who also hold securities licenses or work in dual-registered environments, FINRA Rule 2210 applies to all communications with the public, including AI-generated content shared on social media. FINRA’s 2025 Annual Regulatory Oversight Report specifically addresses digital communications and emphasizes that firms must have supervisory procedures covering AI-assisted content creation.

State-Level Requirements

Individual state insurance departments enforce advertising rules through their own versions of the NAIC Unfair Trade Practices Act (Model 880), adopted in 45 states. Every public-facing communication by an agent, whether AI-generated or not, must be truthful, not misleading, and include required disclosures.

Canadian Regulators

In Canada, the Financial Services Regulatory Authority of Ontario (FSRA) and the Autorite des marches financiers (AMF) in Quebec apply similar principles. All advertising must be fair, clear, and not misleading, regardless of the tool used to create it.

Common Mistakes

Publishing AI-generated content without review. AI language models can produce plausible-sounding text that contains inaccurate regulatory claims, fabricated statistics, or non-compliant language. Posting directly without human review is the single largest compliance risk.

Assuming the AI tool handles compliance. No AI marketing tool eliminates compliance responsibility. The licensed agent is the responsible party, not the software vendor.

Using AI to generate product comparisons. AI tools frequently produce misleading comparisons between insurance products and investment vehicles, such as “better than a 401(k)” or “risk-free growth.” These claims violate advertising standards in virtually every jurisdiction.

Failing to archive AI-generated content. Many states and carriers require agents to maintain records of all advertising materials. AI-generated content that is not tracked and stored creates a gap in the compliance record.

Ignoring carrier and MGA review requirements. Many carriers require pre-approval of marketing materials. AI-generated content is not exempt from these requirements.

Compliant Alternatives

Instead of avoiding AI altogether, agents can implement a structured workflow that keeps AI tools useful while managing regulatory risk.

Use AI as a Drafting Assistant, Not a Publisher

Let AI generate initial content, then apply a human compliance review before anything goes live. This is the “human-in-the-loop” model that regulators expect.

Replace Prohibited Claims with Compliant Language

Non-compliant: “This policy guarantees tax-free retirement income.”

Compliant: “Depending on policy structure and eligibility, certain life insurance products may provide tax-advantaged income options. Consult a licensed professional for details specific to your situation.”

Non-compliant: “No underwriting required. Everyone is approved.”

Compliant: “Simplified underwriting options may be available. Approval is subject to eligibility requirements and policy terms.”

Non-compliant: “Better returns than your 401(k), with zero risk.”

Compliant: “Life insurance products offer features that differ from employer-sponsored retirement plans. Each has distinct benefits, limitations, and tax implications. A licensed advisor can help evaluate which approach fits your goals.”

Build a Review Checklist

Before publishing any AI-generated content, apply a standardized review that checks for prohibited claims, required disclosures, and factual accuracy. This process should be documented and repeatable.

AI-Specific Considerations

Hallucination Risk

AI language models can generate content that sounds authoritative but is factually wrong. In insurance marketing, this might mean fabricated statistics about policy performance, incorrect descriptions of product features, or non-existent regulatory citations. Every AI-generated claim about a product or service must be verified against the actual policy terms and current regulations.

Verification Processes

Establish a standard verification workflow:

AI generates a draft.

The agent reviews the draft for factual accuracy against known product details.

The agent checks all claims against the compliance checklist.

The agent confirms that required disclosures are present.

The content is archived before and after publication.

Supervision and Accountability

Under FINRA Rule 2210, firms must have written supervisory procedures for all communications, including those generated by AI. For independent agents, this means documenting your review process even if no firm-level supervisor is involved. Your carrier, MGA, or E&O provider may request evidence of your review process.

Roomvu Implementation Example

Roomvu is designed as a compliance-aware marketing platform for regulated professionals. Here is how its features support the compliance workflow described above:

Verified content templates. Rather than generating content from scratch with unpredictable outputs, Roomvu provides pre-built templates designed with regulatory considerations in mind. Agents personalize rather than create from zero.

Human-in-the-loop review. Content goes through a review step before publication. Agents approve or modify every post, email, or video before it is distributed.

Post tracking and recording. All published content is tracked and archived, supporting the recordkeeping requirements that carriers and regulators expect.

AI Avatars with agent voice. Roomvu’s AI Avatars create content that represents the agent’s voice and brand, reducing the risk of generic AI-generated language that may not reflect the agent’s actual expertise or licensed products.

AI caller (Alex) for compliant outreach. Early-stage lead contact is handled through structured scripts, not open-ended AI conversations that could produce unscripted product claims.

Agents can explore Roomvu’s approach in the Roomvu Academy, which includes guidance on setting up compliant marketing workflows.

Compliance Checklist: Before You Publish AI-Generated Content

I have read the entire AI-generated draft before approving it.

All product claims are accurate and match current policy terms.

No prohibited language is present (guaranteed approval, tax-free without qualification, risk-free, investment return projections stated as guarantees).

Required disclosures are included (insurer name, licensing information, state-specific requirements).

Testimonials or endorsements include proper disclosures (paid endorsement, material connections).

No misleading comparisons between insurance and securities products.

The content has been archived or saved in a retrievable format.

Carrier or MGA pre-approval has been obtained if required.

I can explain and defend every claim in this content if questioned by a regulator.

Educational Disclaimer

Disclaimer: This content is for educational marketing guidance only and does not constitute legal or regulatory advice. Agents should confirm requirements with their carrier, MGA, or licensing authority. Regulatory requirements vary by state and province, and individual compliance obligations depend on licensing, product type, and distribution channel.

Is AI-generated marketing content legal for insurance agents?
Yes. No U.S. or Canadian regulator has banned the use of AI tools for creating marketing content. The NAIC Model Bulletin (December 2023) and subsequent state adoptions establish that AI use is permitted within existing regulatory frameworks. The critical requirement is that the licensed agent remains responsible for reviewing and approving all content before publication. AI is a tool; compliance responsibility stays with the human.

Do I need to disclose that my content was created with AI?
As of early 2026, there is no universal federal or state requirement to disclose AI involvement in insurance marketing content. However, some carriers and MGAs may have internal policies requiring disclosure. Additionally, several states are considering AI transparency legislation. The safest approach is to check your carrier’s guidelines and monitor your state insurance department for emerging requirements. Regardless of disclosure, the content itself must comply with all advertising standards.

What happens if an AI tool generates a non-compliant post that I publish?
The agent bears responsibility. State insurance departments hold the licensed producer accountable for all advertising, regardless of how it was created. Penalties can include fines, required corrective advertising, license suspension, or referral to enforcement. This is why human review before publication is not optional but a fundamental compliance requirement. Using a platform with built-in review workflowscan help structure this process.

How many states have adopted the NAIC Model Bulletin on AI?
As of early 2026, 24 states have adopted the NAIC Model Bulletin on the Use of Artificial Intelligence Systems by Insurers with little to no material changes. These include Connecticut, Delaware, Kentucky, Maryland, Massachusetts, Nebraska, New Jersey, New York, North Carolina, Oklahoma, Pennsylvania, Rhode Island, Vermont, Virginia, West Virginia, and others. Additional states have enacted their own related regulations. The trend is toward broader adoption, making AI governance a baseline expectation across the industry.