Insurer Beazley has urged firms to ensure AI-implementation projects are properly planned and do not prioritise the potential benefits that AI might bring to their business over the fundamentals of maintaining a robust and resilient technology stack within their operations.

Adrian Cox, CEO at Beazley said: “AI and how it can transform business has dominated conversation this year. This is likely to continue into 2025, with our latest Risk and Resilience report finding that 80% of companies are planning to integrate AI into business practices. But are businesses leaping in without looking and possibly opening themselves up to an accusation of ‘AI-washing’?

“Amid the excitement surrounding AI's potential, businesses should take stock and ensure they are taking a considered approach as they implement AI, making sure that investment in AI does not divert attention away from getting the basics right, particularly around cyber risk.”

He added: “Crucially, businesses will benefit from exercising caution and not overstating the use or impact of AI on their services and profitability. In the US for example, we have already seen a number of high-profile cases cracking down on AI-washing, including the Securities and Exchange Commission’s fines on investment advisors Delphia and Global Predictions. We are likely to see similar actions in other regions.”