The insurance industry is undergoing a significant transformation driven by advancements in artificial intelligence. Traditional methods of risk assessment are being reshaped by the integration of AI technologies, offering new opportunities for insurers to enhance accuracy, efficiency, and predictive capabilities. This research project seeks to delve into the impact of AI on risk assessment in insurance, aiming to provide a comprehensive understanding of the implications of AI adoption for insurers, policyholders, and regulatory bodies. By examining the current landscape, challenges, and future prospects of AI-driven risk assessment, this study aims to contribute to the ongoing discourse on the intersection of technology and risk management within the insurance sector.