The new coverage, available globally, addresses three key Gen AI risks:
- Data poisoning: This covers the manipulation or contamination of training data used to develop machine learning models. By introducing misleading or false information, attackers can compromise the accuracy and performance of AI systems, leading to costly data cleanup and litigation risks.
- Usage rights infringement: This addresses the liability arising from negligent failure to obtain appropriate permissions for using copyrighted materials, software licenses, or intellectual property in machine learning applications.
- Regulatory violations: This covers liability resulting from non-compliance with the European Union’s AI Act, which aims to regulate the development and deployment of AI systems.
By offering this expanded coverage, AXA XL is demonstrating its commitment to providing comprehensive cyber protection for businesses operating in the evolving landscape of AI technology.
Michael Colao, AXA XL’s Global Chief Underwriting Officer, Cyber, said: “Looking to improve efficiency, improve customer experience, and so much more, more companies are investing in developing their own Generative AI to unlock new possibilities. They must also be mindful of the risks that come with it, such as potential misuse, compliance issues, and the need for robust safeguards to ensure responsible and secure deployment.”
He concluded: “Our clients sought help navigating this unchartered territory and, with our brokers’ input and feedback, we’re pleased to develop an innovative, market-leading insurance solution to provide clear coverage for these risks and help them leverage GenAI without the worry of potential risks and extra costs that could hinder their efforts.”
