The AI Coverage Buyer's Guide presents
The AI Coverage
Buyer's Brief
A source-verified brief on where AI liability coverage stands in the US: what is being excluded, what you can still buy, and how to walk into a renewal ready.
Author
Joel R. Singh
Edition
Version 1.0 · 2026 Edition · Updated 2026-07-12
Rankings & facts
Not for sale
Section 01
Executive summary
Two things happened to AI liability coverage in 2026 at the same time. Standard policies started carving AI out, and a small standalone market grew up to sell it back. Here is the landscape in five points.
The exclusion is now standard. On January 1, 2026, Verisk/ISO forms CG 40 47 and CG 35 08 took effect. Where a carrier attaches them, your general liability policy no longer responds to injury or damage arising from generative AI. verified 2026-07-12
It goes wider than the ISO forms. At least six major carriers have filed their own AI exclusions, and WR Berkley has an absolute AI exclusion sweeping D&O, E&O, and fiduciary lines. Roughly 80% or more of these filings have been approved by state regulators.
A real standalone market exists, but it is small. Only a handful of true standalone AI liability products are on the US market as of mid-2026, most surplus lines and Lloyd's or Munich Re backed. Everything else is an endorsement on cyber or tech E&O.
Underwriting is now a documentation exam. Carriers increasingly price and condition coverage on your AI governance: model inventories, human oversight records, bias testing, and incident response. What you can produce determines your terms.
The gap lands at renewal, quietly. The exclusion arrives as an endorsement on an otherwise routine renewal. If nobody reads the form numbers, the first time you learn AI is excluded is when a claim is denied.
What to do this quarter
Pull your current GL, E&O, D&O, and cyber policies and search each for the letters "AI" and for the form numbers CG 40 47 and CG 35 08. Before your next renewal, assemble the nine documents on the readiness checklist and take the broker script in Section 03 to your broker. Getting ready is cheaper than a denied claim, and it is the single thing most under your control.
Section 02
The living data
This brief is the summary. The detail lives on four continuously verified pages, each with per-cell sourcing and a dated changelog. Start with whichever matches your question.
Carrier comparison
Who sells AI liability coverage
Every standalone product and endorsement on the US market, verified per cell →
Exclusion tracker
What is being excluded
ISO forms CG 40 47 / CG 35 08 and every carrier-specific AI exclusion filing →
Coverage gap
Does your E&O or CGL cover AI?
The decision framework for reading your own policy →
Readiness checklist
The nine documents underwriters ask for
What to assemble before your next renewal →
Section 03
The broker conversation script
Bring these questions to your next renewal. They surface an AI exclusion before it becomes a denied claim, and they tell your broker you have done the homework.
- Q1
"Does my renewal attach CG 40 47, CG 35 08, or any carrier-specific AI exclusion? Please point me to the exact endorsement form numbers on the policy."
- Q2
"Across all my lines, GL, E&O, D&O, and cyber, which ones now exclude AI, and what specifically is excluded on each?"
- Q3
"If AI is excluded, can we negotiate a narrower exclusion or a buy-back endorsement? What documentation would improve those terms?"
- Q4
"For any affirmative AI coverage you offer, does it respond to liability for my own AI's outputs, or only to AI as an attack vector against me?"
- Q5
"What standalone AI liability products or DIC wraps can you access for a business my size, and what would each carrier need to see to write it?"
- Q6
"Which of the nine governance documents would most improve my pricing or availability, and are any of them a hard requirement to bind?"
Section 04
Methodology and how this guide is funded
How the data is built
- Per-cell sourcing. Every factual claim in our datasets links to its source and carries a last-verified date. Where a carrier has not disclosed a detail, we write "Not disclosed / verify with carrier" instead of guessing.
- Visible changelogs. The comparison table and exclusion tracker each publish a dated changelog, because in this market freshness is the whole point.
- Quarterly re-verification. Every cell is re-checked against its source at least quarterly, with ad hoc updates on launches and filings.
- Verification status is explicit. Rows that we have not yet confirmed against a primary source are labeled as needing primary verification rather than presented as settled fact.
How this guide is funded
The editorial work, which rankings and which products are included, how each claim is verified, and what the datasets say, is never for sale. Nothing an advertiser, sponsor, or client does can change the datasets or the analysis.
The work is funded three ways, all disclosed:
- Display advertising. The site runs display ads. Advertisers have no say over research, rankings, or verification.
- Clearly-labeled sponsorships. Any sponsored placement is marked as such and kept separate from the editorial datasets.
- Optional data and advisory services. iSinghLabs offers AI governance and coverage-readiness advisory work. Engaging those services never buys editorial treatment here.
The line that does not move: no carrier pays to appear in this guide, and no commission is earned on any policy. Nothing influences the editorial datasets. The full funding disclosure is on the About page.
Informational only. Nothing in this brief is insurance advice, legal advice, or a recommendation of any policy. Coverage terms, form adoption, and state approvals change frequently and vary by jurisdiction and insured. Verify every detail, including the exact endorsement wording on your own policy, with your carrier or a licensed broker. Research by iSinghLabs Inc; reviewed by iSL Advisory. Author: Joel R. Singh. Edition updated 2026-07-12.