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Risk analysis
To:Brew Readers
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How IT pros can make sure they’re guarding against AI threats in an insurance-approved way.

Happy Wednesday! More importantly, it’s Data Privacy Day. That’s right, today you can proudly stand on your soapbox and preach the importance of data protection with minimal resistance. Feels like Christmas came early this year?

In today’s edition:

Insurance clAIm

🪦 Broken tradition

No more patchwork?

—Billy Hurley, Brianna Monsanto, Caroline Nihill

CYBERSECURITY

Two hands filling out a digital questionnaire.

Francis Scialabba

As more companies consider implementing agentic AI, what IT protocols do insurers want to see implemented before they’ll write a policy that covers the use of (and potential damages from) AI?

Cyberinsurance helps organizations protect themselves against costs related to adverse events like ransomware or a data breach. Some insurers now offer AI-specific coverage for scenarios like a chatbot mishap; others see AI as incidental to a breach and don’t mention the technology in policies. A recent report from global insurers’ group Geneva Association found that insurers are adapting cyber and liability policies to include GenAI‑related causes of loss, while “due diligence protocols are being tested to streamline underwriting and claims processes.”

“It remains too early to say whether existing insurance products or new standalone solutions will come to dominate the GenAI risk market,” the report concluded.

We asked insurance pros about the ways that agents can lead to unexpected costs for organizations—as well as the still emerging due diligence designed to satisfy AI underwriters.

The risk-mitigation controls one CISO suspects insurers want to see in place.BH

Presented By JumpCloud

SOFTWARE

Computer screens with mouse cursors breaking through them

Francis Scialabba

Phone books, paper maps, and pagers feel like antiquated relics of the past. Some executives think enterprise resource planning (ERP) software may soon join that list.

More than one-third (36%) of C-suite executives believe the current traditional ERP model will soon become obsolete “in favor of a composable, modular, flexible, API-driven, best-of-breed model,” according to a recent Rimini Street report. Almost the same percentage (33%) replied that they believe the traditional ERP model will evolve with an agentic makeover in the future, while 3 in 10 said the current model will receive “incremental enhancements.” The findings are based on a Censuswide survey of 4,295 global C-suite executives.

What exactly is ERP 2.0? IT Brew caught up with Eric Kimberling, CEO and founder of Third Stage Consulting Group, to understand how ERP models may evolve. Historically, he said, the ERP model was a single system that “pulled together” a company’s entire operations; however, this once-critical software may begin playing a smaller role.

So, what exactly does ERP 2.0 look like?—BM

IT STRATEGY

When it comes to AI regulation, the Trump administration has decided that having one cook in the kitchen is better than 50.

In December, the Trump administration issued an executive order seemingly sidelining states’ AI laws in favor of a national policy framework. In the order, the administration argued that “excessive” state regulation “thwarts” innovation, and alleges that state laws are increasingly responsible for “requiring entities to embed ideological bias with [AI] models.”

What it means for IT. Jonathan Walter, a senior policy counsel with The Leadership Conference on Civil and Human Rights, cautioned against companies disobeying existing state laws, regardless of the executive order.

“I don’t think this executive order has any substantive impact on companies building or using AI; they should still be expected to follow state and local AI laws,” Walter said. “They have a legal obligation to do so in the states they operate in.”

How one AI company is rolling.CN

PATCH NOTES

Picture of data with "Clean Me" written on it + bottle of cleaner in front of it, Patch Notes

Francis Scialabba

Today’s top IT reads.

Stat: 615,000. That’s how many Downdetector reports were filed for social media platform TikTok as of Monday morning, which the social network later blamed on a power outage at a US data center site. (PCMag)

Quote: “It may not be ultimately very cost effective on paper, but it does contribute to that good social impact by turning what is a potential bad news story of increased data centers into a good-news story of what is ultimately decarbonized heat supply.”—Brendan Reidenbach, a policy analyst at the International Energy Agency, on repurposing heat from data centers (CNBC)

Read: An OG AI pioneer’s take on the current AI race. (the New York Times)

Make IT work: JumpCloud’s JumpCloudLand is a free virtual IT conference, aka a pivotal road map featuring dozens of tailored sessions. Attendees also gain exclusive first access to JumpCloud’s Q1 2026 IT Trends Report. Save your seat.*

*A message from our sponsor.

Sopa Images/Getty Images

Sopa Images/Getty Images

Slack’s latest Slackbot upgrade could lighten the load for IT teams. This story breaks down how the bot pulls answers from chats, docs, and connected tools—and why it could streamline help-desk support as GenAI assistants spread across the workplace.

Read now

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