AI risks make some insurers wary of corporate liability

If AI does end up killing us all, or just compounds our daily havoc, the insurance industry would rather not pay the bill. "AI-related harms are already emerging, including incorrect or misleading outputs, deepfakes, privacy violations, intellectual property disputes, fraud, product defects, and discriminatory decisions," observes the RAND Corporation, a non-profit research think tank, in a newly issued report. "These harms create demand for insurance but do not fit neatly within existing insurance lines." Companies want to protect themselves from the financial liability of deploying unreliable, mendacious, amoral AI agents, but insurance companies have become wary about taking on that risk. And if AI ends up being uninsurable, the AI...

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