Compliance Stuff

The power of AI is creating new and evolving cyber risks. This article explores those risks, the legal landscape and consequences for organizations in the UK and US that fail to implement sufficient cyber protections, and the steps that legal departments should be taking to protect their organizations. AI cyber risk – both an internal and external challenge From an internal cyber defense perspective, AI as a technology is not substantially more risky than other new and novel IT systems. The internal risk stems from the rapid adoption of new technologies creating new attack avenues. AI is fueling a boom in new AI companies and the integration of AI into existing platforms. The speed of this change means the new technology may be less well tested and, accordingly, comes with heightened risks of undetected or unpatched vulnerabilities.  It also introduces change risk as new technology is onboarded. This often requires bringing new systems onto an existing IT estate or new connection...

The power of AI is creating new and evolving cyber risks. This article explores those risks, the legal landscape and consequences for organizations in the UK and US that fail to implement sufficient cyber protections, and the steps that legal departments should be taking to protect their organizations. AI cyber risk – both an internal and external challenge From an internal cyber defense perspective, AI as a technology is not substantially more risky than other new and novel IT systems . The internal risk stems from the rapid adoption of new technologies creating new attack avenues. AI is fueling a boom in new AI companies and the integration of AI into existing platforms. The speed of this change means the new technology may be less well tested and, accordingly, comes with heightened risks of undetected or unpatched vulnerabilities.  It also introduces change risk as new technology is onboarded . This often requires bringing new systems onto an existing IT estate or new connection...

  Over the past decade, technological innovations have quickly transformed how companies operate their IT infrastructure. T raditional on-site servers and hardware have often been replaced or supplemented by off-site solutions such as cloud computing, SaaS (Software-as-a-Service), virtualized servers, or “Bring Your Own Device” (BYOD) programs. These developments allow a business’s IT operations to be spread across a complex IT ecosystem rather than confined to physical devices located on its premises. They have the potential to reduce costs while expanding the computing capabilities at a company’s fingertips. But they don’t come without risk. The ever-evolving nature of IT systems can create disconnects between the core features on which policyholders rely to operate their businesses—and that they seek to insure against cyber risks—and the defined terms used within their cyber policy’s coverage grant(s). While businesses may expect their cyber insurance policies to cover the ful...