James Erne, Senior Film, TV and Media Adjuster at Spotlite Claims examines how AI impacts risk assessment in entertainment and how insurance providers must adapt to this changing landscape.
A version of this article first appeared in CII Journal, May 2025.
It was only a matter of time before AI started to become more embedded into film and TV production. Any emerging technology that can improve efficiencies, reduce risk and cut costs is inevitably going to get a foothold, especially in an industry that is associated with big numbers and often risk in many forms. So how will this swiftly evolving technology affect risk in the entertainment industry and what should insurance providers do to adapt?
Already AI is used quite heavily in production. On a day-to-day basis it has input within scriptwriting, casting and talent management, scheduling, virtual production, Visual Effects(VFX) and Computer-Generated Imagery (CGI).
Meanwhile, in the wider entertainment environment, AI is a tool fast being considered by insurers as a potential means of mitigating loss in the film and television market. When losses occur, productions must react quickly and prudently to determine how they move forward, and this can often be a complicated and slow process, potentially without a key cast member. It is in situations like these that insurers are starting to consider how and to what extent AI could come to the production’s rescue.
In film and TV, Spotlite deals with a wide variety of claims under global film and TV production package policies which include everything from property damage to schedule interruption.
Imagine the scenario of an actor, through illness or accident, cannot make the final days of filming at a costly foreign location. If the production is returning to shoot in a studio in the UK and has access to a Virtual Production (VP) stage, they can capture plate shots on the foreign location and shoot the action on the VP stage. AI deep fake can also help with head and voice replacement in such scenarios where an actor is indisposed.
While some actors may feel uncomfortable at this idea, at the end of the day, using AI in this manner saves vast amounts of money. This can help keep people; actors, technicians, and creatives, in their jobs. Used responsibly, rather than jeopardising an actor’s role, AI is instead mitigating what could be huge financial losses for a production company, while helping to shore-up other film and production jobs in what is a competitive and uncertain market.
The concerns of actors should never be dismissed though. Recent action shows just how seriously the acting industry takes the threat of AI, and rightly so. The film industry and the insurance sector are still learning to adapt to new and emerging technologies. Actors fear for their jobs and future income, meanwhile insurance providers are on a steep learning curve, gathering information on how AI is changing risk, for better and worse, and what this means for the insurance sector as a whole.
Another example of how emerging technology is affecting the risk arena is VP. As the use of VP evolves it is likely that the industry will witness a decline in personal injury claims. But while one risk lowers others are likely to rise. VP, especially with head-mounted displays (HMDs), can cause motion sickness and potentially trigger seizures in actors with photosensitive epilepsy due to conflicting sensory input and visual stimulation.Cyber threats could also become an issue, as VP is all about digital assets and data.
With technology changing so quickly, it is difficult to see if AI is still the villain in the script, or fast becoming an award winning supporting act. One thing is certain, AI and other emerging technologies are presenting some troubling ethical, legal, and practical issues for actors, production companies and insurance providers.
As AI continues to revolutionise entertainment, insurers must proactively adjust their policies, pricing models, and risk assessments to ensure they provide comprehensive protection in this evolving digital landscape.