I can't argue with this, so I acknowledge that my interpretation is as bunk as anyone else's.
> my current assumption is that insects are not conscious
Some species act as hive-minds (like bees! How convenient for your example), so I imagine the hive as the consciousness, making each bee individually lacking conscious but collectively so. Like a single neuron is not consciousness alone, but the brain is... For some reason. Kinda like how you use different physics at different levels; Newtonian physics is always there, but negligible at quantum levels, so effectively not present at all. Even a human is a collection of minds, but only one conscious. My gut biome is independent biology and can even be removed and transplanted, but I don't believe my gut bacteria is conscious. So long as it is in me, it is nonetheless part of me, and I am one conscious. I also don't exist only at my brain, eyes, or hands (deaf/blind people have expressed to me that they feel like they are located at their hands in the way I used to think I was located behind my eyes), but as my whole body.
With this perspective, I still don't believe LLMs are conscious despite modeling thinking so well. At best, it is a highly accessible modeling software, like goat simulator but if it were so good that someone thought the goat was real. You are still steering the goat/LLM, and it doesn't exist when you aren't running it. I guess the missing piece for me is the lack of autonomy that a conscious has.
Then you can go into an argument on whether we actually have choice or it is an illusion, but that is a whole topic on its own.