2026-07-22 · Source: Insurance Journal
Summary in 3 Points • Insurers are submitting filings with state regulators for AI exclusions • ISO exclusions are driving the trend towards AI risk management • Insurers may offer silent coverage for AI risks under traditional policies --- Insurers are increasingly interested in AI exclusions as the risks associated with artificial intelligence become more omnipresent. The growing prevalence of AI technologies across various sectors has led to heightened concerns about potential liabilities and unforeseen consequences. As a result, insurers are exploring ways to mitigate these risks, with exclusions becoming a focal point of their strategies. For the London Insurance Market, particularly in the cyber and general liability lines, the rising interest in AI exclusions signifies a shift in how risks are assessed and managed. Lloyd's syndicates and other market participants may need to adapt their underwriting practices to accommodate the omnipresence of AI technologies. This trend could lead to the development of new insurance products specifically tailored to address AI-related risks, offering both challenges and opportunities for market players. Underwriters, brokers, and risk managers must consider the implications of AI exclusions on their portfolios and client relationships. The increasing complexity of AI risks requires a nuanced understanding of both the technology and its potential impacts. As insurers seek to incorporate AI exclusions into their policies, professionals in the industry will need to stay informed about the latest developments and adjust their strategies accordingly to ensure comprehensive coverage and risk management.
For the London Insurance Market, particularly in the cyber and general liability lines, the rising interest in AI exclusions signifies a shift in how risks are assessed and managed. Lloyd's syndicates and other market participants may need to adapt their underwriting practices to accommodate the omnipresence of AI technologies. This trend could lead to the development of new insurance products specifically tailored to address AI-related risks, offering both challenges and opportunities for market players.