October 27, 2026 by matray

Specialty insurer CFC has expanded its affirmative artificial intelligence coverage to its eHealth and Professions insurance products, introducing policy language intended to clarify how coverage responds when AI contributes to an insured loss.

The company announced Oct. 27 that it has added affirmative AI language to its global eHealth product and U.S. Professions policy, with equivalent endorsements available for professional liability policies in other markets.

The eHealth enhancements address a range of AI-related exposures, including errors, algorithmic bias, AI hallucinations and failures involving technologies such as ambient clinical documentation tools and software supporting clinical trials. CFC said its entire suite of healthcare package products has been updated to include affirmative AI coverage.

The changes are intended to clarify coverage when AI is incorporated into an insured's business operations and contributes to a claim, an increasingly relevant issue as healthcare organizations adopt AI technologies for patient care, administrative functions and clinical research.

"Insurance policies must step up and clarify intent of coverage when it comes to AI related loss," said Ellie Saunders, CFC's head of healthcare and life sciences. "Our eHealth policy does exactly that, affirming our position where AI is used within an insured's business model that contributes to, or causes, loss."

Affirmative AI coverage expressly addresses AI-related exposures in policy language rather than leaving coverage questions to interpretation under existing provisions. The clarification is particularly relevant to healthcare organizations using AI-enabled technologies that may contribute to professional liability claims.

CFC also expanded its Professions product to clarify coverage for AI-related exposures arising from professional services firms' client-facing activities and routine business operations.

Ed Cole, CFC's professional liability, healthcare and life science development leader, said the growing use of AI creates risks alongside its potential benefits.

"Without the right governance, risk management and insurance protection in place, businesses may face significant exposure," Cole said. "By introducing affirmative AI coverage across our Professions policy, we're providing greater clarity around how cover responds to AI-related exposures."

The expansion is part of CFC's broader initiative to introduce affirmative AI coverage across its insurance portfolio. The company said its products now expressly address AI-related risks in media, intellectual property, financial services, cyber, healthcare and professional services.