Silicon Angle disclosed that Cowbell Cyber Inc. has launched a standalone insurance policy designed to protect small and midsized businesses against financial losses stemming from the deployment of artificial intelligence agents.
The new policy addresses risks associated with autonomous AI agents that operate without human oversight. Coverage includes incidents such as model drift, unauthorized software actions and LLMjacking, where attackers exploit stolen credentials to run expensive AI workloads. The insurance covers direct financial losses, such as unauthorized payments or excessive usage fees, and provides support for investigating incidents or taking compromised agents offline. Furthermore, the policy extends to third-party claims, including lawsuits related to algorithmic discrimination, inaccurate tax filings or bodily injury resulting from AI output. It also covers defense costs, settlements and certain regulatory fines. Underwriting for the policy utilizes specific factors regarding observability, autonomy and governance to assess how businesses monitor their AI tools. This product, which becomes available Jan. 1, 2027, through wholesale brokers, complements the company's existing offerings for larger enterprises. By addressing both internal operational failures and external legal liabilities, Cowbell aims to mitigate the dual exposure businesses face when integrating autonomous systems into their workflows.
Source: Silicon Angle
