The rapid adoption of AI is amplifying cybersecurity and other business risks while creating new ones. Although existing insurance policies are generally broad enough to cover many AI-related exposures, increased use is likely to drive higher claim frequency and severity, prompting insurers to tighten underwriting and, in some cases, introduce AI-specific exclusions. This article, distilling insights offered during a Barbri program featuring partners from Anderson Kill, Duane Morris and K&L Gates, examines key AI-related risk areas, the coverage available for such risks under legacy policies, potential AI policy exclusions and how organizations can assess their coverage. See our three-part series on using cyber insurance to mitigate risk: “Finding an Insurer and Navigating the Application Process” (Oct. 3, 2018); “Getting Savvy About Cost and Policy Terms” (Oct. 10, 2018); and “Policy Management and Breach Response” (Oct. 17, 2018).
