• PRA’s principles-based AI framework seen as pragmatic, reducing need for new sandbox or detailed rules
• Second-line risk functions’ caution on AI may delay deployments due to skills gaps and compliance concerns
• Regulatory fragmentation across UK/US/EU slows cross-border AI scaling and increases compliance costs
• Third-party AI provider standards and data sovereignty laws cited as key barriers to AI adoption
• Insurers face data scarcity limiting near-term AI-driven hyperpersonalization opportunities