Axa XL adds generative AI endorsement to cyber policy

Axa XL, a unit of Axa SA, Monday launched an endorsement to its cyber policies offering coverage for risks related to generative artificial intelligence.

Limits will be determined “on a risk-by-risk basis,” an Axa XL spokeswoman said in an email.

Companies using generative AI should 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,” Michael Colao, Axa XL’s global chief underwriting officer, cyber, said in a statement.

Exposures covered include data poisoning, where hackers manipulate or contaminate data used to develop machine learning models; usage rights infringement, where companies don’t have appropriate permissions to use copyrighted or licensed data; and regulatory violations, such as liabilities resulting from the European Union’s AI Act, which provided a legal framework for the use of AI.