Insurers Add AI Risks to Policies

🔑 Enhanced Key Takeaways

• •Insurance Services Office (ISO) introduced CG 40 47 and CG 40 48 endorsements in 2026, explicitly excluding coverage for claims arising from generative AI outputs in commercial general liability policies.[1]
• •Insurers are mandating detailed disclosures on AI usage, including autonomy levels, human oversight, and third-party vendors, with incomplete disclosures risking policy rescission.[2]
• •Cyber insurance policies now require AI-specific security controls like adversarial red-teaming and model risk assessments, potentially denying coverage without documented practices.[3]
• •Reinsurers like Swiss Re and Munich Re are advancing AI model transparency and risk frameworks to automate treaty structures and improve risk transfer.[4]

🔮 Future ImplicationsAI analysis grounded in cited sources

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