Marsh chief executive says broad AI exclusions in insurance policies could cause “real confusion”

Insurers that put wide artificial intelligence exclusions into their policies risk “real confusion and uncertainty”, Marsh chief executive John Doyle said on the broker's third-quarter earnings call, according to a Reuters report that Carrier Management published on 16 October.

Doyle wants a more nuanced treatment of AI exposures, now that the technology is part of normal business operations. He said that Marsh does not want a fight with insurers, and that AI claims have been few so far.

Nick Studer, who leads Marsh Risk, sees two kinds of AI risk: existing perils that AI changes, and new exposures that show gaps in current products. He doubts that a third, purely AI category exists, but said that Marsh keeps an open mind. The report noted that it is not clear how traditional policy definitions apply to losses caused by autonomous AI agents that act on the permissions they are given.