2026-11-06 · Source: Insurance Business Canada
Summary in 3 Points • Brokers need to understand how clients use AI to match exposures with appropriate insurance products. • CFC upgraded its media policy to include AI coverage explicitly due to increasing client inquiries. • Brokers should ensure clients have a legal basis for uploading data to third-party AI tools. --- Cameron Griffiths, head of media and intellectual property at CFC Underwriting, emphasises that brokers should focus on how clients use AI rather than if they use it. This shift allows brokers to better align clients' exposures with suitable insurance products, especially as CFC has recently updated its media policy to explicitly cover AI-related risks due to rising client inquiries about coverage. Brokers must also ensure that clients have a legal basis for using third-party AI tools, as improper data handling can lead to significant legal ramifications. The evolving landscape of AI in insurance necessitates that brokers check for AI exclusions or sublimits in policies. CFC's approach includes examining the source of data used in AI tools and ensuring clients have robust governance around AI usage. As the regulatory framework for AI remains underdeveloped, brokers must be vigilant in understanding the implications of AI on coverage and risk management, particularly in media and cyber insurance lines. Brokers must adapt to clients' AI usage to ensure proper coverage, particularly in media and cyber insurance, as CFC's policy updates reflect market needs.
Brokers must adapt to clients' AI usage to ensure proper coverage, particularly in media and cyber insurance, as CFC's policy updates reflect market needs.