European insurers warn against changing product liability rules


Major changes to European product liability legislation could hamper the ability of insurers to continue to cover certain risks.

Insurance Europe’s warning comes in its response to a European Commission questionnaire on adapting liability rules to the digital age and artificial intelligence (AI).

The trade body argued that European insurers already offer a wide range of insurance products and services for AI users and producers. He called on the Commission to refrain from introducing major reforms to the Product Liability Directive (PLD) to enable insurers to continue to perform accurate risk calculations and respond to the demands and realities of the ever-changing market.

The PLD should remain limited to bodily injury and property damage, as other types of damage and harm are already covered by existing legislation, such as the Environmental Liability Directive and the General Data Protection Regulation respectively, a added Insurance Europe.

New rules should only be considered where there is a clear protection gap, which currently does not exist, he said, with enough insurance products already offering adequate protection to customers.

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