Artificial Intelligence in Workers’ Compensation: An Overview of Promises and Challenges

By Bogdan Savych, Vennela Thumula

June 25, 2025 Related Topics: Other

In recent years, interest in the role of artificial intelligence (AI) in workers’ compensation has grown rapidly. This study represents an important step toward understanding how stakeholders perceive the opportunities and risks associated with these emerging technologies by examining their views on the promises and challenges of AI in the workers’ compensation system.

To develop the study, WCRI researchers conducted semi-structured interviews with 34 leaders from 20 organizations—including employers, insurers, medical providers, worker advocates, and regulators—supplemented by informal discussions. They also reviewed relevant literature and regulations concerning AI developments and applications.

By outlining current and emerging uses of AI in workers’ compensation and identifying associated risks and potential safeguards, the study aims to provide a common language for stakeholders and inform policy discussions that promote responsible AI use to improve injured workers’ recovery and experience.

Artificial Intelligence in Workers’ Compensation: An Overview of Promises and Challenges. Bogdan Savych and Vennela Thumula. June 2025. WC-25-22.

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Research Questions:

  • How do workers’ compensation stakeholders define AI’s role in the economy and the workers’ compensation system?
  • How do stakeholders view the value of AI tools in their jobs and in the workers’ compensation system?
  • What are possible challenges and risks with broader AI adoption, and how can these be mitigated?

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