Liability Insurance Readiness (Risk Transfer)

Financial Protection Document - M&A Confidential

This document addresses the audit's concern regarding "Liability aspects" and details how the asset facilities the acquisition of Cyber Insurance by the buyer.

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1. Technical Risk Mitigation (Underwriting Friendly)

Insurance companies positively evaluate systems that possess:

• Default Deny Implementation: ABS Core blocks by default in cases of uncertainty, removing the risk of an "accidental malicious bypass".
• Forensic Ledger: The cryptographic proof of each decision allows the insurer to identify the root cause of any incident, facilitating legal defense.
• Physical Sandbox (WASM): Mathematical isolation reduces the probability of catastrophic systemic failures.

2. Liability Framework (MSA Alignment)

Our commercial terms (msa_summary.mdx) include:

• Liability Cap: Limited to 12 months of the contract value.
• Segregation of Fault: ABS Core acts as a "Security Advisor". Liability for the final execution remains with the agent, while the audit proves that ABS Core sent the correct block signal.

3. Next Step: Cyber Liability Policy

We are in preliminary talks to obtain a "Pre-approval for Insurance" for enterprise clients running the ABS Core engine, which could reduce the buyer's insurance premiums by up to 20%.

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Conclusion: Legal risk is quantifiable and transferable. ABS Core transforms "AI chaos" into an "Insurable Asset".