Beazley confirms affirmative AI cyber cover and adds AI shutdown and AI regulatory endorsements

Specialty insurer Beazley announced two cyber endorsements on 24 September 2026 for risks arising from a business’s own use of AI: an AI Voluntary Shutdown solution and AI Regulatory Defence & Penalties cover. The announcement followed Beazley’s statement on 17 September that it had confirmed affirmative AI cover in its cyber and technology errors and omissions policies.

What happened

On 17 September, Beazley said its new AI wording expressly addresses AI-related risks that it says were already covered within its existing cyber cover, to give clients certainty and clarity. Alessandro Lezzi, Beazley’s group head of cyber risks, said the endorsement makes clear that in a cyber attack, “AI-driven or otherwise, they are protected.” In the US, Beazley’s 17 September release says that cover is available on an admitted basis in some, but not all, states through Beazley Insurance Company, Inc., and on a surplus lines basis through Beazley Excess and Surplus Insurance, Inc. or Beazley-managed Lloyd’s syndicates.

On 24 September, Beazley described two further endorsements that address risk from AI deployed inside an organization, not only AI-enabled attacks:

• AI Voluntary Shutdown, which Beazley calls an “industry-first” solution, for organizations that need to suspend their own malfunctioning AI systems before significant financial and reputational harm occurs.
• AI Regulatory Defence & Penalties, to support clients if unintentional misuse of their own AI leads to regulatory investigations or fines.

Beazley’s 17 September release says cover is subject to and governed by the terms and conditions of each policy issued. Neither release publishes the wording, limits or exclusions.

Why it matters

The two steps follow the split described in What Is AI Insurance?: while parts of the market add AI exclusions, some established carriers are writing explicit affirmative AI language into existing lines. Beazley’s second step goes beyond clarifying existing cover to name first-party and regulatory exposures from a buyer’s own AI. Regulatory cover is linked to the rules mapped in The Standards Landscape Explained, and whether a given fine can be insured may depend on local law. For the controls that sit alongside this kind of cover, see What Is AI Assurance?.

What is not yet clear

Where the two endorsements are available, and their limits and triggers, are not stated in Beazley’s 24 September release.

This describes the product as its provider presents it. It is not insurance advice.