AI use is changing how much companies pay for cyber insurance

McDonald's AI recruiting platform had a critical security flaw with a default password (123456) and no multi-factor authentication (a login method requiring multiple verification steps), exposing 64 million applicants' data. As companies deploy AI tools faster than they can secure them, cyber insurers are responding by tightening policies, raising premiums, and adding exclusions for AI-related incidents, while also offering discounts to organizations that use AI-based security tools.