AI RESEARCH
Algorithmic Insurance
arXiv CS.LG
•
ArXi:2106.00839v3 Announce Type: replace When AI systems make errors in high-stakes domains like medical diagnosis or autonomous vehicles, a single algorithmic flaw across varying operational contexts can generate highly heterogeneous losses that challenge traditional insurance assumptions. Algorithmic insurance constitutes a novel form of financial coverage for AI-induced damages, representing an emerging market that addresses algorithm-driven liability.