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OpenAI, Anthropic consider using investor funds to settle potential lawsuits.
OpenAI and Anthropic are considering using investor funds to settle potential claims from multibillion-dollar lawsuits, as insurers balk at providing comprehensive coverage for the risks associated with artificial intelligence.
The two US-based AI start-ups have traditional business insurance coverage in place, but insurance professionals said AI model providers will struggle to secure protection for the full scale of damages they may need to pay out in the future.
OpenAI, which has tapped the world’s second-largest insurance broker Aon for help, has secured cover of up to $300 million for emerging AI risks, according to people familiar with the company’s policy.
Another person familiar with the policy disputed that figure, saying it was much lower. But all agreed the amount fell far short of the coverage to insure against potential losses from a series of multibillion-dollar legal claims.
Aon declined to comment on individual companies. But Kevin Kalinich, head of cyber risk at Aon, said of the insurance sector broadly, “we don’t yet have enough capacity for [model] providers.”
146 sats \ 3 replies \ @optimism 8h
OpenAI, Anthropic consider using investor funds to settle potential lawsuits.
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It's always the usual poor guys getting screwed over. fuckers!
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33 sats \ 1 reply \ @optimism 8h
Poor pmarca. I feel sorry for the guy /s
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I don't either.
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