Tokio Marine & Nichido to Launch AI Robot Insurance in November

Tokio Marine & Nichido Fire Insurance Co. announced Oct. 26, 2026, that it will offer AI robot insurance starting in November 2026. Coverage will include damage to robots, liability for damage to third parties, and costs such as wages for replacement personnel when a robot is out of operation.

Tokio Marine & Nichido said the insurance will cover damage to robots and liability for damage to third parties, as well as costs such as wages for replacement personnel when a robot is out of operation. The product is relevant to companies considering coverage for losses caused by robot breakdowns or stoppages, including not only repair costs but also the costs of replacement personnel.

The product’s distinguishing feature is that it covers not only damage to robots and liability for personal injury or property damage, but also the costs of securing replacement personnel while a robot is out of operation. This appears to extend coverage beyond damage to the robot or losses from accidents to costs related to business continuity during downtime. However, the announcement provided does not specify the circumstances under which wages for replacement personnel would be covered. Tokio Marine & Nichido says that, with the progress of Physical AI, robots are evolving from machines that repeat predefined movements into systems that perceive and assess their environments and situations and act autonomously. In light of this explanation, the product can be viewed as an effort to include in insurance the burdens associated with downtime that are difficult to address through conventional machinery damage and liability coverage alone. The announcement, however, describes the types of coverage; companies will need to review the policy terms to assess how much risk would be transferred when adopting the insurance. For companies considering applying robots in their operations, the scope of eligible robots and incidents and the conditions for payment are important, not just the names of the coverage categories. The information provided does not clarify, for example, whether damage to robots, third-party liability and wages during downtime are subject to the same policy conditions, or how downtime and replacement personnel costs would be calculated. The announcement also does not specify coverage limits, deductibles, premiums or details on eligibility. Therefore, what can be assessed at this point is the plan to address several types of losses — damage to robots, liability and replacement personnel costs during downtime — through a single product. Companies will need to check whether the circumstances that could lead to downtime at their operations align with the policy’s payment conditions. Tokio Marine & Nichido says it aims to help create an environment that supports the adoption and use of AI robots through this insurance, but the industries and applications it will primarily target, as well as the conditions for coverage, remain to be confirmed.