Risklytics Navigates AI Insurance Maze for Frontier Tech

Risklytics is an insurance brokerage firm designed to help companies building advanced robotics, drones, autonomous systems, and satellites secure appropriate coverage.

Traditional insurance brokers often misclassify or deny coverage for frontier technology due to a lack of understanding of AI and advanced systems. Standard industry forms from bodies like ISO now include clauses that can void coverage for AI-related losses, and their application is opaque.

The firm developed a structured six-step application process that accurately describes a client's technology to insurers. They maintain a map of which insurers adopt AI exclusion clauses and which are willing to remove them or specifically cover frontier companies.

Risklytics offers transparency, showing clients the reasons for denial and what changes would enable coverage. It aims for a hands-off process for companies seeking full protection.

Founded by Sam and Alex, on leave from Harvard, Risklytics pivoted into brokerage after initially attempting to sell wildfire risk models to insurers. They are compensated by a 10-20% commission from the insurance companies, with no direct fees to clients.

They claim to have helped several previously denied companies secure coverage, including a robotics wholesaler and a bridge collision system developer. This indicates a direct solution for a previously intractable problem for hardware innovators.

For a Tokyo-based professional developing or deploying advanced robotics, drones, or autonomous systems, securing adequate insurance is a critical but often overlooked hurdle.

The firm addresses a specific pain point: navigating the complex and often obscure AI exclusion clauses in insurance policies. This could significantly reduce operational risk and accelerate deployment for frontier tech companies in Japan, assuming similar insurance market dynamics.