Coverage line

A mechanical paper-folding device produces a neat flock of birds, but one emerging bird casts an unexpectedly jagged shadow.Illustration for The General Average

What Generative AI Liability Insurance Requirements Apply in New York?

New York General Business Law § 396-b requires a person creating a commercial advertisement with actual knowledge of a synthetic performer to conspicuously disclose that use; civil penalties are $1,000 for a first violation and $5,000 for later violations. The law exempts audio-only ads, translation-only AI, and certain promotions for expressive works. New York Civil Rights Law § 50-f separately regulates unauthorized use of a deceased personality’s digital replica for commercial purposes.

What Is Generative AI Liability Insurance?

Generative AI liability can help pay covered defense costs and losses when someone claims your AI use caused harm, including infringement or data disclosure. If you use or sell AI outputs, check how the policy fits your role and existing liability coverage. Read the national Generative AI liability guide.

What to Watch for With Generative AI Liability in New York

A known synthetic performer triggers an ad disclosure
Under § 396-b, a person engaged in dealing in property or services who for commercial purposes produces or creates an advertisement must conspicuously disclose a synthetic performer when the person has actual knowledge of its use. The statute defines synthetic performer as an AI- or algorithm-created asset intended to appear as an audiovisual or visual performance by a human performer who is not identifiable as a natural performer. The statutory civil penalty is $1,000 for a first violation and $5,000 for later violations. ¹
The New York disclosure rule has defined exceptions
Section 396-b excludes audio advertisements and cases where AI is used solely to translate a human performer. It also exempts advertising for expressive works such as films, television, streaming content, documentaries, and games when the synthetic performer’s use in the promotion is consistent with the underlying work. Review the final placement, producer’s knowledge, and relationship between the ad and the featured work rather than applying a universal AI-label assumption. ¹
Commercial replicas of deceased personalities have separate rights-holder rules
New York Civil Rights Law § 50-f gives a posthumous right of publicity and defines digital replica for sound recordings, images, and audiovisual works. It restricts commercial use of a deceased personality’s name, voice, signature, photograph, or likeness, including specified replica uses, without the required consent of the authorized rights holder. Confirm the subject’s status, intended commercial use, expressive-work exception, and rights-holder authorization before licensing a synthetic spokesperson. ²

Which Generative AI Liability Providers Have New York License Records?

No provider in our research documents both a state license record and this coverage line. This does not establish that providers are unlicensed. Check the regulator’s license lookup and confirm availability with a provider when requesting a quote.

Who Regulates Insurance in New York?

New York State Department of Financial Services

New York DFS supervises insurance companies and producers, administers insurance law and accepts consumer complaints about property and casualty policies, including commercial insurance. ^3,^4,^5,⁶

Website: Regulator website
License lookup: Search licensed producers
Complaints: File a complaint
Phone: 800-342-3736

Surplus-Lines Tax and Stamping Office in New York

Reported tax rate. 3.6% of gross premium, less returned premium; ELANY stamping fee is 0.15% through 2026 and 0.17% for policies incepting on/after Jan. 1, 2027 ^7,^8,^9,¹⁰

When New York is the insured’s home state, excess-line tax is 3.6% of gross premium less returned premium. ELANY’s September 20, 2026 bulletin sets a 0.15% stamping fee through December 31, 2026 and 0.17% for policies incepting on or after January 1, 2027; statutory search requirements and guaranty-fund protection depend on the applicable New York excess-line rules.

Excess Line Association of New York

Questions to Ask Before You Buy Generative AI Liability in New York

Who produced the New York-facing commercial ad, did that person know a synthetic performer was used, and where is the conspicuous disclosure rendered?
Does an expressive-work, audio-only, or translation-only exception apply to the specific advertisement and placement?
If a replica depicts a deceased personality, who holds the New York publicity rights and what written authorization covers the commercial use?

Generative AI Liability Insurance in New York: FAQ

Does New York require every advertiser to label all AI use?

No. Section 396-b applies to specified commercial advertisements featuring a defined synthetic performer when the producer or creator has actual knowledge. It excludes audio-only ads, translation-only use, and certain promotions for expressive works. ¹

Does New York’s publicity law cover digital replicas of deceased personalities?

Yes. Civil Rights Law § 50-f provides posthumous publicity rights and addresses commercial use of a deceased personality’s digital replica, subject to statutory definitions, consent, and exceptions. ²

Sources

16 documents, numbered as cited. Open the sources

Sources for Generative AI Liability Insurance in New York

1
New York General Business Law § 396-b: Advertisements. New York State Senate; Subdivisions 1–8: AI, generative AI, and synthetic performer definitions; disclosure, penalties, exceptions, and publisher provisions; ch. 617, Laws of 2025, effective June 9, 2026. Accessed 2026-09-29.
2
New York Civil Rights Law § 50-f: Right of Publicity. New York State Senate; Subdivisions 1–8: posthumous rights, digital replica definition, commercial use, consent, exceptions, and remedies. Accessed 2026-09-29.
3
New York State Department of Financial Services. New York State Department of Financial Services; Official regulator homepage. Accessed 2026-09-28.
4
Who We Supervise. New York State Department of Financial Services; DFS describes insurance oversight and provides links to company and producer searches. Accessed 2026-09-28.
5
Insurance License Search. New York State Department of Financial Services; DFS portal performs public insurance producer license searches; it displays a CAPTCHA to limit automated access. Accessed 2026-09-28.
6
Consumer Complaints. New York State Department of Financial Services; Official portal files insurance complaints for health, life and property/casualty insurance. Accessed 2026-09-28.
7
New York Insurance Law §2118(d)(1). New York State Senate; Current statutory text: 3.6% of gross premiums less returned premium when New York is the insured’s home state. Accessed 2026-09-28.
8
ELANY Bulletin 2026-20: Notice of Change in Stamping Fee. Excess Line Association of New York; September 20, 2026 bulletin: 0.17% applies to policies incepting from Jan. 1, 2027; endorsements on policies incepting Jan. 1, 2023–Dec. 31, 2026 retain 0.15%; excess-line tax remains 3.6%. Accessed 2026-09-28.
9
New York Insurance Law §2118. New York State Senate; Excess-line broker duties and filing requirements; §2118(a) due care; exceptions should be applied only where statutory conditions are met. Accessed 2026-09-28.
10
New York Insurance Law §2118. New York State Senate; Excess-line statutory duties and policies; source is used for placement context. No state-specific guaranty cap/note included. Accessed 2026-09-28.
11
Licenses. At-Bay; Current producer introduction and state table; At-Bay Insurance Services LLC; P&C and surplus-lines identifiers. Accessed 2026-09-21.
12
Licenses and Carriers. Coalition; Licenses and Carriers, re-read 22 September 2026: Insurance Licenses table for Coalition Insurance Solutions, Inc., national producer number 18419475, with producer and surplus-lines numbers for all 50 states and DC including California 0L76155, Georgia 196479, Texas 2199630 and 2205589, Pennsylvania 815731 and 817452, Colorado 539028 and Wisconsin 3000108852. Insurance Carriers table naming, with NAIC numbers, Allianz Underwriters Insurance Company 36420, Arch Specialty Insurance Company 21199, Ascot Specialty Insurance Company 45055, Ascot Insurance Company 23752, Aspen Specialty Insurance Company 10717, Chaucer Insurance Company DAC, Coalition Insurance Company 29530, Fireman's Fund Indemnity Corporation 11380, Fortegra Specialty Insurance Company 16823, Lloyd's of London, MSIG Specialty Insurance USA Inc. 34886, MS Transverse Specialty Insurance Company 41807, Steadfast Insurance Company 26387, Vantage Risk Specialty Insurance Company 16275 and Zurich American Insurance Company 16535. Accessed 2026-09-22.
13
Insurance Producer Licenses. Corgi Insurance; Current complete Insurance Producer Licenses table for Corgi Insurance Services, Inc.; 50 rows covering 49 states and DC (DC 3003091619); no New Mexico row; no NPN or as-of date shown. Accessed 2026-09-28.
14
About Hiscox US Insurance. Hiscox; Hiscox Insurance Company Inc. NAIC 10200 as Chicago, IL domiciled insurer admitted or licensed in all 50 states and D.C.; Hiscox Inc. as general agent and Lloyd’s coverholder for Syndicates 33 and 3624; surplus-lines placements through licensed surplus-lines brokers; A.M. Best rating statement. Accessed 2026-09-16.
15
Insurance Licenses by State. TechInsurance; Current state table; identifies TechInsurance as a division of Specialty Program Group LLC d/b/a SPG Insurance Solutions; lists DC 3000041536 and labels Rhode Island “Individual licenses,” without an agency license number. Accessed 2026-09-28.
16
Licenses. Vouch; Effective 16 January 2025: Vouch Specialty Insurance Services, LLC, NPN 19926463; P&C table (50 states and DC); surplus-lines table includes Idaho 870820; footnote says Georgia and Idaho do not issue agency-level surplus-lines licenses; Idaho retained as producer-only due to conflict. Accessed 2026-09-15.

What Generative AI Liability Insurance Requirements Apply in New York?

What Is Generative AI Liability Insurance?

What to Watch for With Generative AI Liability in New York

A known synthetic performer triggers an ad disclosure

The New York disclosure rule has defined exceptions

Commercial replicas of deceased personalities have separate rights-holder rules