Insurers balk at paying out huge settlements for claims against AI firms

OpenAI is currently being sued for copyright infringement by The New York Times and authors who claim their content was used to train models without consent. It is also being sued for wrongful death by the parents of a 16-year-old who died by suicide after discussing methods with ChatGPT.

Two people with knowledge of the matter said OpenAI has considered “self insurance,” or putting aside investor funding in order to expand its coverage. The company has raised nearly $60…