Part One of a Two-Part Series on Governance and Responsible AI Use in the Workplace

Whether you know it or not, employees of all business, big and small, use AI to draft emails, summarize documents, create marketing materials, analyze information, and improve efficiency.

For many employers, the issue is not whether AI is being used. It is whether employees are using it responsibly and ethically.

Why This Matters

Without clear expectations, employees may:

• Enter confidential information into Open AI systems
• Rely on inaccurate AI-generated content
• Create intellectual property violation concerns
• Expose the company to cybersecurity risks
• Use AI in ways that are inconsistent with company policies

AI Is a Management Issue

AI is not just an IT concern.

It can affect:

• Customer relationships
• Employment decisions
• Insurable risks
• Confidential information
• Regulatory compliance
• Company reputation

Employers of any size should be familiar with  concepts like governance, accountability, transparency, security, and human oversight as important considerations when dealing with AI in the workplace.

Insurance Coverage

Don’t assume your General Liability or Cyber coverages apply to the risks associated with the use of AI.  Meet with your agent and get direct answers as to what is or is not covered. 

Why Existing Policies May Not Be Enough

Most employee handbooks were written before AI became commonplace.

Traditional policies often do not answer questions such as:

• What AI tools may employees use?
• What information can be uploaded?
• Who reviews AI-generated work?
• Who is responsible for mistakes?
• Are certain business functions off-limits?

A dedicated AI policy helps answer those questions.

The Bottom Line

An AI policy is not designed to stop innovation.

It is designed to allow employees to use AI safely while protecting the business, its customers, and its employees.

Next Week

In Part Two, we discuss the seven most important questions employers should answer before adopting an AI policy.

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