QBE North America introduces AI-focused cyber insurance coverages

QBE North America announced AI-focused cyber insurance coverages for AI regulatory compliance and LLMjacking.

The new cyber coverages address two emerging risks:

• AI regulatory compliance: As the EU AI Act takes effect, several U.S. states are also developing AI regulations which will increase compliance requirements and scrutiny around the use of AI for business. This protection provides coverage for fines, penalties and defense costs for evolving regulations.
• LLMjacking protection: LLMjacking is a type of cyberattack in which threat actors use stolen credentials to access cloud-hosted large language models (LLMs). Once they have access, these threat actors exploit the computing resources required to run LLMs. This protection covers increased service fees when threat actors access AI resources, as well as the costs to retrain compromised models.

Last year, QBE unveiled QCyberProtect, a comprehensive and globally consistent cyber policy designed to enhance cyber resilience for a broad range of organizations, from mid-sized companies relying on fully outsourced IT departments to global corporations with complex large-scale IT systems.

“AI brings incredible opportunities for businesses as well as new risks that traditional cyber insurance policies may not cover. QBE is committed to developing and offering insurance solutions that keep pace with rapid innovation like AI, so businesses have the comprehensive protection they need.” – Meredith Brown, head of U.S. Cyber and Errors & Omissions, QBE North America.