This can be a complex issue. The first question we need to resolve is who (if any) controls the AI system? Prior to being covered, agreements need to be reached on definitions of responsibility the scope of liability in cases where harm is done by AI tools.

In general, most insurance is not a legal requirement for AI businesses, with the exception of employers' liability insurance which is mandatory for most UK businesses with employees.

However, in specialist, cutting-edge industries like AI and machine learning, many clients and investors will require that a business holds sufficient insurance as a contractual obligation.

The types of cover that your AI business will need will depend largely on the specifics of your business activity, as well as other factors, including company structure, turnover, employee count and more.

Some of the main covers that are often important for AI businesses include professional indemnity (PI), cyber, directors' and officers', commercial combined insurance and aiSure, the revolutionary new performance-guarantee from Munich Re.

Yes, we require a little more information to get your US subsidiary covered. This normally just extends to knowing the percentage of your revenue that comes from the USA.

The amount a business in the AI and machine learning space might need to pay for their insurance premium will depend on a number of different factors. These include the business' stage of growth, their target market, their specific product offering, revenue levels, employee headcount, funding and much more.

The performance guarantee is based on the premise of providing financial compensation in the event that your AI technology fails to meet important pre-determined performance KPIs for your client. Traditional insurance products such as professional indemnity are restricted to covering financial losses, rather than targeting the performance KPIs that matter to your clients.

aiSure's performance guarantee relies on the insurer and client agreeing on pre-determined performance KPIs that set a benchmark for the efficacy of their AI technology. They are agreed upon after an evaluation of a set of pre-delivered questions, completed by the client business, as well as a series of approximately three calls between the insurer and the AI provider's tech team.

Cyber insurance is not mandatory, but we highly recommend it if your company processes or holds a lot of sensitive data, or relies on network or system uptime. Cyber insurance protects this data and your business against the financial, legal and reputational impacts of a data breach, system downtime, cybercrime or ransomware attack.

Watch Superscript’s Head of Digital Assets, Ben Davis’ talk at the AI Summit London during London Tech Week 2023. In this video, he argues that building AI solutions utilising web3 tools and principles will enable us to realise the incredible potential for it to completely change our world for the better. Watch it here.