For brokers
Place AI Liability Coverage With Mayflower Specialty
Mayflower Specialty places its AI liability coverage through brokers. A broker can submit a risk through the online application or the supplemental application PDF, request an appointment through the contact form and expect underwriting to respond within 48 hours of receiving a submission.
- Paper
- A- (Excellent) AM Best rated
- Capacity
- Backed by global reinsurers
- Policy form
- Claims made and reported
- Investors
- Clocktower Ventures, Antler
The renewal conversation
Why Clients Are Asking About AI Now
Clients are raising AI with their brokers for three reasons: insurers are adding AI exclusions at renewal, boards and shareholders are asking how AI is overseen and disclosed, and new rules govern AI used in hiring. Each one reaches a different line of the program, which is why AI belongs on the renewal agenda for any client that builds or deploys AI.
AI Exclusions Are Arriving at Renewal
Verisk’s ISO generative AI exclusions for commercial general liability (CG 40 47, CG 40 48 and CG 35 08) took effect in January 2026, and W. R. Berkley has introduced an “absolute” AI exclusion for D&O, E&O and fiduciary liability. A client that renews without reading the AI wording may lose cover it has relied on for years.
Sources: Business Insurance, April 2026 (opens in a new tab); Hunton Andrews Kurth, May 2025 (opens in a new tab)
New Rules Apply to AI in Hiring
Since January 1st 2026, the Illinois Human Rights Act has made it a civil rights violation for an employer to use AI that has a discriminatory effect in covered employment decisions, or to use AI without notifying applicants and employees. In New York City, Local Law 144 requires a bias audit before an automated employment decision tool is used, along with notice to candidates.
Sources: Epstein Becker Green, 2026 (opens in a new tab); NYC Department of Consumer and Worker Protection (opens in a new tab)
Shareholder Suits Over AI
24
AI-related securities class action filings in 2026 through September 23rd, nearly 14% of all new filings
Source: The D&O Diary, September 2026
AI Disclosed as a Material Risk
72%
of S&P 500 companies disclosed AI as a material risk in their 2025 Form 10-K filings, up from 12% in 2023
Each of these is a reason to raise AI at the next renewal rather than wait for the client to raise it, and the conversation starters further down this page are written for that call.
The coverage
Three Lines and a DIC Layer, Written for How AI Fails
Mayflower writes affirmative AI coverage for the three management and professional lines where AI claims land, plus an AI DIC Excess layer for clients who want to keep their current program. Coverage is available as a modular primary policy or as a difference-in-conditions layer over the D&O, EPL and E&O policies a client already carries, subject to the policy terms.
AI-D&O
AI Directors and Officers Liability
Written for claims against directors and officers arising from the company's use, oversight or disclosure of AI, such as securities and derivative claims alleging AI-washing or failed oversight.
AI-EPL
AI Employment Practices Liability
Written for employment claims arising from AI used in hiring, promotion, discipline and other workforce decisions, such as discrimination claims over automated screening.
AI-E&O
AI Professional Liability
Written for claims by clients and third parties who suffer a loss from AI-enabled products or services, such as an inaccurate or hallucinated output.
Excess layer
AI DIC Excess
A difference-in-conditions layer over an existing D&O, EPL and E&O program that adds affirmative AI coverage where those policies are silent on AI or exclude it.
- Policy form
- Claims made and reported
- Defense costs
- Within the limit: they reduce and may exhaust it, and are subject to the retention
- Paper
- A- (Excellent) AM Best rated paper, backed by some of the world’s largest reinsurers
- Claims
- Handled by a specialist claims administrator
Placement
How the Modules Sit Beside D&O, EPL, E&O and Cyber
Mayflower’s modules are designed to sit beside a client’s existing D&O, EPL, E&O and cyber placements rather than replace them. The table shows what each existing line was written to respond to, where AI can leave a gap and where Mayflower fits, so the placement can be explained to a client in a single conversation.
| Existing policy | Written to respond to | Where AI can leave a gap | How Mayflower fits |
|---|---|---|---|
| D&O | Claims against directors and officers over how they manage the company, including securities and derivative claims. | The wording may be silent on AI or carry an AI exclusion, which leaves claims about AI disclosures or board oversight of AI open to dispute. | AI-D&O as a module of the primary policy, or AI DIC Excess over the existing D&O. |
| EPL | Discrimination, wrongful termination, harassment and other claims brought by applicants and employees. | Claims over automated screening and AI-assisted workforce decisions may meet an AI exclusion or a reading of the wording that has not yet been tested. | AI-EPL, or AI DIC Excess over the existing EPL. |
| E&O | Claims that the company’s professional services or products caused a client a financial loss. | A loss caused by an AI output, such as an inaccurate or hallucinated answer, may sit outside definitions written for human professional services. | AI-E&O, or AI DIC Excess over the existing E&O. |
| Cyber | Security events such as unauthorized access, data breaches and ransomware, with incident response and business interruption. | Many AI claims involve no security event at all: a model’s decision or recommendation harms a person, a customer or a business. | Keep the cyber policy in place, because Mayflower’s AI coverage is designed to sit beside it rather than replace it. |
This comparison is general information: whether any policy responds to a claim depends on its wording and the facts, and only the issued policy states what is covered.
The question clients ask
“Doesn’t Our Cyber Policy Already Cover This?”
Cyber insurance was built for security events such as unauthorized access, a data breach or ransomware, in which the company failed to protect its systems or data. Many AI claims involve no security event at all, because a model makes a decision or a recommendation that harms a person, a customer or a business without any breach taking place.
The two covers respond to different triggers and are designed to sit side by side, so the recommended course is to keep the cyber policy and add AI liability beside it.
Read the guide to AI liability and cyber insuranceAppetite
Which Clients Fit
Mayflower writes for companies whose development or use of AI creates management, employment or professional liability. The application screens out a short list of AI uses early, in Section II, so it is worth checking a client against that list before preparing a submission.
Good Fits
- A company whose use of AI could lead to claims against its directors and officers, against it as an employer, or against its professional services and products.
- A company whose D&O, EPL or E&O policies have added an AI exclusion or are silent on AI (AI DIC Excess).
Better Placed Elsewhere
- First-party security losses such as breach response, ransomware and business interruption belong with the client’s cyber policy, which Mayflower’s coverage is designed to sit beside.
- Individuals and consumers fall outside the program, because the application is written for businesses.
Outside Appetite
Section II of the application asks whether any AI system is used for these purposes, each of which is outside Mayflower’s underwriting appetite.
- Autonomous weapons or military targeting
- Social scoring or mass surveillance
- Biometric identification in public spaces
- Real-time emotion inference in workplace or educational settings
- Deepfake generation without disclosure
Predictive policing and criminal sentencing applications are considered only under bespoke terms.
Submitting a risk
The Submission Checklist
A complete submission is the supplemental application, completed alongside the ACORD applications for D&O, EPL and professional liability, with the five required documents below. The recommended documents are optional, but the application notes that they may improve terms, so it is a good idea to ask the client for any that already exist.
Submission checklist
0 of 5 required documents ready
Required With Every Submission
Section X marks these as required.
Recommended
The application notes that these may improve terms.
Ticks stay on this page and are not saved or sent anywhere. The copied version is plain text, ready to paste into an email to your client.
Two ways to submit
Online
Start the application, choose the option “I am a broker applying for a client” and name the client’s signing officer at the end. The application saves progress as you go.
By PDF
Download the application after accepting its use license, then email the signed application and documents to submission@
Worth Knowing Before You Start
- A spreadsheet of the client’s production AI systems satisfies the application’s AI system schedule.
- The application must be signed by the client’s Chairman of the Board, Chief Executive Officer, Chief Financial Officer, President or General Counsel.
- Completing the application does not bind coverage, and all information and submitted materials are held in confidence.
- Underwriting responds within 48 hours.
The application
What the Application Asks, Section by Section
The application follows the order in which underwriting assesses an AI risk: who the client is, what AI it runs, how that AI is governed and monitored, and what has gone wrong before. Knowing why each section is there helps you set expectations with the client, and it is a good idea to involve the people who own AI, data, security and legal before the client starts.
- Section I
Applicant Information
The named insured, locations, revenue, ownership, business type and the geographic scope of your AI operations.
Why underwriting asks: These details identify the company to be insured, the people underwriting should contact and the policy you are requesting.
- Section II
AI Systems Overview
How many AI systems you run in production, how autonomous they are, how material their decisions are and which third-party models you rely on.
Why underwriting asks: The number of AI systems, how autonomous they are and whose decisions they affect describe the exposure underwriting assesses.
- Section III
AI Governance
Your governance framework, oversight body, board reporting, policies, pre-deployment reviews and the people accountable for AI risk.
Why underwriting asks: Underwriting looks at how AI is overseen, documented and approved before a system reaches production.
- Section IV
Data Governance
Data lineage, quality controls, bias and fairness testing, sensitive data categories, privacy compliance and training data provenance.
Why underwriting asks: The data a model learns from and acts on can give rise to bias, privacy and intellectual property claims, so underwriting asks how it is controlled.
- Section V
System Operations and Monitoring
Criticality tiers, reliance on external AI infrastructure, fallbacks, drift monitoring, retraining and staged rollouts.
Why underwriting asks: Monitoring and fallback plans show how quickly a failing system would be noticed and contained.
- Section VI
AI Incident Response
Your AI-specific incident response plan, detection methods, tabletop exercises, complaint and appeal routes and incidents in the past 24 months.
Why underwriting asks: Underwriting assesses how the company would detect, contain and learn from an AI incident.
- Section VII
Regulatory Environment and Compliance
EU AI Act classification, the US AI rules that apply to you, sector regulation, external audits and ISO/IEC 42001 status.
Why underwriting asks: The laws and regulators that apply to your AI systems shape the regulatory exposure underwriting assesses.
- Section VIII
Claims and Loss History
AI-related claims and any D&O, EPL or E&O claims from the past three years, known circumstances and any declined or non-renewed coverage.
Why underwriting asks: Past claims, known circumstances and prior declinations are part of underwriting any liability policy.
- Section IX
Prior and Current Insurance
Your current or expiring D&O, EPL and E&O coverage, with the proposed retroactive date and current expiration date.
Why underwriting asks: Your current program lets underwriting set this coverage alongside existing policies, including the retroactive date.
- Section X
Required Documentation
The five documents every application needs and eight more that are recommended and may improve terms.
Why underwriting asks: Documents let underwriting confirm your answers and can reduce follow-up questions.
For the renewal call
Renewal Conversation Starters
These six questions open an AI conversation with a client without technical knowledge on either side. Each one maps to a part of the application, so the answers double as preparation for a submission.
“Which of your D&O, EPL and E&O policies say anything about AI, and did any insurer propose an AI exclusion or new AI wording at this renewal?”
An exclusion that reaches claims arising out of AI can remove cover the client has relied on for years, and it is far easier to negotiate before binding than after a claim.
Application Section IX; AI DIC Excess
“Where does AI make or shape decisions about your customers, applicants or employees, and who signs off before a new system goes live?”
Systems that affect people’s rights, jobs or money carry the most exposure, and the answer is the starting point for the application’s questions on AI systems and governance.
Application Sections II and III
“Does your board or a committee receive regular reporting on AI risk, and what has the company said publicly about its use of AI?”
Statements about AI capabilities and the board’s oversight of AI are where AI-D&O exposure begins, and shareholder suits over AI have been rising.
Application Section III; AI-D&O
“Do you use AI to screen, rank or interview candidates, or to inform decisions on promotion, pay or termination?”
Automated hiring tools now face discrimination claims and new notice and audit rules, which is the exposure AI-EPL is written for.
Application Sections II and VII; AI-EPL
“Do any of your products or client services rely on AI output, and what happens when that output is wrong?”
A client that relies on an inaccurate or hallucinated output and suffers a loss may bring a professional liability claim, which AI-E&O is written for.
Application Sections II and V; AI-E&O
“Do you keep an inventory of your AI systems and a written AI governance policy, and could you share both with an underwriter?”
Both are required documents, so a client that already has them can move straight to a submission, and one that does not has a clear first step.
Application Section X
The questions copy as plain text, ready to paste into a call sheet or an email to a client.
How it works
From Appointment to Terms
Placing AI liability with Mayflower takes five steps, and the submission itself draws on documents most clients already hold for their D&O, EPL and E&O renewals.
Step 1: Request an Appointment
Send a short request through the contact form with the broker appointment topic selected, and Mayflower follows up about the appointment.Step 2: Gather the Documents
Collect the ACORD applications, three years of loss runs, recent financial statements, the client’s AI governance policy and its AI system inventory.Step 3: Submit Online or by PDF
Complete the online application as the client’s broker, or email the signed PDF and documents to Mayflower’s submissions address.Step 4: Underwriting Reviews the Risk
Underwriting reviews the application against the client’s AI governance and responds within 48 hours.Step 5: Present Terms to the Client
Terms come back to you to present to the client, because coverage is placed through brokers. Completing the application does not bind coverage.
Broker FAQ
Broker Questions
Short answers to the questions brokers ask before placing AI liability with Mayflower.
How does a broker get appointed with Mayflower?
Can a broker submit a client’s application online or by email?
Which documents does a submission need?
Which uses of AI are outside Mayflower’s appetite?
Does a client have to replace its current D&O, EPL or E&O carriers?
How quickly does underwriting respond to a submission?
Place AI liability
Put AI on Your Clients’ Renewal Agenda
The online application lets a broker apply on a client’s behalf and saves progress as it goes, and a short message through the contact form is enough to ask about an appointment. Underwriting responds within 48 hours of receiving a submission.
Completing the application does not bind coverage.