Testudo expands AI liability capacity with Atrium and QBE

Lloyd’s coverholder Testudo has secured additional underwriting support from Atrium Underwriting Group and QBE Insurance Group for its generative AI liability insurance product, increasing available limits to $9.25 million per insured. The insurers join Apollo Underwriting on Testudo’s (re)insurance panel, expanding capacity as enterprises face growing uncertainty around coverage for AI related risks under traditional liability policies.

The product is designed to respond to third party claims arising from AI generated outputs, including legal costs and damages where conventional commercial general liability policies may not apply. Demand for such coverage is increasing as insurers introduce more AI related exclusions and organizations face rising legal exposure tied to generative AI tools.

According to Testudo’s proprietary data, generative AI related litigation has increased 137% year over year, as regulatory and legal scrutiny of AI driven decisions expands across sectors such as technology, financial services, healthcare, and media.

“Lloyd’s has always led with courage when insuring new and emerging risks. We are delighted and honoured to welcome the innovative Atrium and QBE to our (re)insurance panel for our generative AI liability insurance product. Their support reflects a shared commitment to thoughtful, well-structured underwriting approaches that give enterprises greater confidence to adopt generative AI.” – Mark Titmarsh, Co Founder and Head of Insurance, Testudo.

“As a leading global insurer, it’s our role to support businesses as they navigate evolving technologies and emerging risks. We’re pleased to support Testudo’s innovative AI liability insurance solution, helping our clients with AI risk scoring and reporting tools, to better detect and evaluate potential liabilities.” – Peta Kilian, Senior Underwriter, Innovation, QBE.