Source: Hunton Andrews Kurth

Hunton Andrews Kurth provides an analysis on the evolving field of intellectual property (IP) insurance, focusing on the new risks and challenges presented by generative artificial intelligence. The article examines the critical question of whether the "fair use" doctrine can serve as a viable defense against copyright infringement claims arising from the training and output of AI models. As AI systems are trained on vast amounts of copyrighted data, the potential for litigation is substantial, creating a significant new category of risk for businesses that develop or use this technology.

The piece explores how the uncertainty surrounding the application of fair use to AI impacts the insurance market. It discusses the types of IP insurance policies available and analyzes whether their current language adequately covers claims related to generative AI. The authors suggest that businesses should proactively review their IP insurance coverage and engage with their providers to understand the extent of protection against AI-related lawsuits. As the legal landscape continues to develop, the demand for specialized insurance products that specifically address the unique IP risks of artificial intelligence is expected to grow, making this a critical area of focus for both legal and risk management professionals.