The primary problem for AI creators isn't convincing people to trust their product, but stopping them from trusting it too much in areas where it's not yet reliable. This "low trustworthiness, high trust" scenario is a danger zone that can lead to catastrophic failures. The strategic challenge is managing and containing trust, not just building it.

Leaders must resist the temptation to deploy the most powerful AI model simply for a competitive edge. The primary strategic question for any AI initiative should be defining the necessary level of trustworthiness for its specific task and establishing who is accountable if it fails, before deployment begins.

Existing policies like cyber insurance don't explicitly mention AI, making coverage for AI-related harms unclear. This ambiguity means insurers carry unpriced risk, while companies lack certainty. This situation will likely force the creation of dedicated AI insurance products, much as cyber insurance emerged in the 2000s.

The model combines insurance (financial protection), standards (best practices), and audits (verification). Insurers fund robust standards, while enterprises comply to get cheaper insurance. This market mechanism aligns incentives for both rapid AI adoption and robust security, treating them as mutually reinforcing rather than a trade-off.

Treating AI risk management as a final step before launch leads to failure and loss of customer trust. Instead, it must be an integrated, continuous process throughout the entire AI development pipeline, from conception to deployment and iteration, to be effective.

Organizations must urgently develop policies for AI agents, which take action on a user's behalf. This is not a future problem. Agents are already being integrated into common business tools like ChatGPT, Microsoft Copilot, and Salesforce, creating new risks that existing generative AI policies do not cover.

Unlike traditional SaaS, AI applications have a unique vulnerability: a step-function improvement in an underlying model could render an app's entire workflow obsolete. What seems defensible today could become a native model feature tomorrow (the 'Jasper' risk).

Insurers like AIG are seeking to exclude liabilities from AI use, such as deepfake scams or chatbot errors, from standard corporate policies. This forces businesses to either purchase expensive, capped add-ons or assume a significant new category of uninsurable risk.

As AI capabilities accelerate toward an "oracle that trends to a god," its actions will have serious consequences. A blockchain-based trust layer can provide verifiable, unchangeable records of AI interactions, establishing guardrails and a clear line of fault when things go wrong.