Insurance Journal published an article by insurance recovery attorneys Allison Burke and William Reed about AI-related insurance claims and what policyholders need to be aware of as AI becomes more integral in business operations. Burke and Reed cover how CGL, D&O, E&O, EPLI, cyber, and property policies can safeguard businesses from various risks.

Below is an excerpt from the article.

You can’t go anywhere without hearing about the impact of generative artificial intelligence on … well, everything. The insurance industry is not immune from these impacts; it has been affected by AI in countless ways – from the use of AI in underwriting and claims processing and handling to a growing need to ensure that policies adequately respond to the minefield of risks policyholders will face when utilizing AI in their business operations. The latter is the subject of this article.

Most businesses are insured under a program of insurance policies, through which separate policies such as commercial general liability (CGL), directors and officers (D&O), professional liability (E&O), employment practices liability (EPLI), cyber, and property, provide coverage for certain types of claims that fall within each policy’s ambit. As AI becomes more integral to the way companies do business, policyholders need to determine whether their patchwork of policies protects them from their AI risks. Different types of policies that could provide coverage for claims arising out of the use of AI are outlined below. These examples are offered only as generalizations, as policy language often differs.

Read the full article HERE.