Scout InsurTech Interview with AI.law

AI.law is an AI-powered legal drafting company. They seek to drastically reduce the time that carriers spend on claims review and litigation drafting. Chris Luiz sat with Founder and CEO, Troy Doucet, to learn more about how ai.law is impacting the industry.

Who are your clients?

Our clients include insurance companies, corporations and law firms.  

What does your product do?

Our focus in the insurance industry is producing robust written responses to the increasingly more complex demand letters sent by claimants’ counsel. To draft a response, AI.Law thoroughly reviews a claim file and identifies deficiencies in coverage, liability, damages and more. Our tool then drafts a comprehensive written response to push back on the other side’s theory of recovery. It includes a complete report with citations to the relevant claim documents, so the adjuster can review and validate the written response.

Another major focus of AI.Law is drafting complex litigation documents with AI. For example, legal professionals can use AI.Law to draft an answer to a multi-page, multi-count lawsuit in about a minute. Discovery requests and responses are accurately produced within a few minutes while maintaining Am 100 quality. We also provide medical timelines, deposition transcripts and more at unmatched depth, accuracy and speed.  

How much capital have you raised?

We have bootstrapped the company so far, but are evaluating options to grow faster as interest has picked up.

Was the company born from within or outside the industry?

The company was born from within the legal industry, focusing on improving litigation efficiency. As a litigation lawyer, I recognized the need for faster and more streamlined AI drafting tools. Our expansion into the insurance sector stemmed from our involvement with industry stakeholders, including former State Auto Financial president Kim Garland joining our board, and through organizations like Rev1.

What growth metrics have you accomplished over the last 12 months?

We have hundreds of users and have experienced significant growth. We measure success in terms of time saved for our users—over 20 percent per file. This does not include the cost reductions achieved by quickly generating offers and compiling information efficiently. Our primary professional user base consists of lawyers.

Within your domain, what is the current challenge that the industry is facing?

The slowness of new technology adoption is a major issue, especially considering the rate in which the other side is adopting it. For example, one of the larger companies that helps claimants’ counsel with demands advertises that their letters make it 69 percent more likely to reach policy limit settlements (Demands™ | Settlement Demand Letters Crafted with AI & In-House Expertise). That kind of technology begs for an equally powerful industry response, which is what our tools are designed to provide. The industry can’t wait to adopt AI technology until it becomes a matter of survival.

How does AI.law take a unique approach to providing value?

We approach our tools with the output in mind. We look at what subject matter experts consider best-in-class output, and then work our way backwards from there. Because we are output driven, our tools are designed specifically to be genuinely useful to the end user.

Our technology is patent-pending. Technologically, it enables us to operate faster and with greater depth than any other solution currently on the market. While most AI in the legal industry focuses on information retrieval and summarization, our AI goes further by deeply analyzing and generating highly detailed documents, reports and letters from demand responses to litigation pleadings.

What inspired the team to start this company?

Efficiency was the driving force behind starting the company. As a litigator, I found certain tasks, such as responding to discovery, to be time-consuming and tedious. One of our first AI modules addressed this issue by automating the discovery process.  

Moving into the insurance industry was a result of the obvious cost savings AI.Law could offer on a scale never seen before. We can reduce a 20-40 hour drafting project to about 5 minutes, with about 30 minutes of manual review afterwards. Multiply that level of time savings across every document in every case, and the savings for the insurance industry is in the billions of dollars.

Can you share any goal(s) for the next 12 months?

Our goal is to expand our toolset and move toward creating an AI-driven, autonomously managed legal platform. We envision a system where AI takes on a proactive role in case management—analyzing entire files, drafting legal documents, keeping cases on track and prompting users when new information affects a case. Ultimately, our goal is to have AI autonomously manage the litigation process, with human oversight to review and guide the process.

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