Next-gen Cyber Insurance Solutions Creation

Next-gen Cyber Insurance Solutions Creation

Underwriter Analyzes Cyber Trends For Insight

Cyber insurance is not new anymore. It is getting a lot of attention these days. People are talking about how important it is to have Cyber insurance. It is important for both the insurance industry and society. We hear about it every day in reports and briefings.

Brit, a specialist insurer, is expanding its cyber consortium called Brit Cyber Attack Plus (BCAP). This product protects insureds from physical damage caused by cyberattacks. BCAP has been around since 2015 and had a gross written premium of approximately £79 million in 2022. Adam Taylor, who specializes in cyber underwriting for Brit, shared this news with Insurance Business.

Taylor works for Brit and joined them in 2015, focusing on their large business cyber portfolio and the BCAP consortium. Brit wants to lead and innovate in cyber insurance.

He said there is more need for bigger limits due to new cyber risks. The consortium wants to help clients with better coverage. They want to provide the best protection for both physical and non-physical harm from cyber threats. This is especially important now.

Perfecting Cyber Innovations' Timing

The Brit cyber consortium expanding is timely. There has been a lot of change in the global markets recently. The threat level has increased, especially due to malware and ransomware attacks on companies worldwide. Taylor said this.

There is a trend of more threats against heavy industrial companies, especially in manufacturing and utilities. This leads to more attacks and can cause major losses for companies, both physical and non-physical. The losses can be very big and catastrophic.

Property damage caused by cyberattacks is happening more often. Devices are interconnected and automation is relied upon. This makes companies vulnerable to damage from cyberattacks. These risks were not as common before.

Companies need to recognize the risks that come with using modern technology. They should use strategies to reduce these risks. BCAP offers protection from both physical and non-physical damage caused by cyberattacks. It covers all types of attacks, whether they cause tangible or intangible losses. Brit's claims expertise means clients have support if something catastrophic happens.

BCAP's Market Response

The market's reaction to Brit's advancements has been positive. Taylor expressed that the feedback received from brokers and distributors has been fantastic. Brokers aim to provide unique options for their clients. They search for solutions that adapt to different potential risks and provide high-quality coverage.

He said that there will be more chances for innovation in the cyber insurance market as traditional lines of insurance decrease their coverage scope for cyber. This, along with new threats and losses, will give them the opportunity to improve their BCAP products and provide effective solutions for their clients.

The cyber insurance market needs to keep innovating. Cyber attacks change quickly. Taylor thinks that the insurance market is not talking enough about this. He thinks that they lead the way in finding new ways to transfer risk.

He said that cyber risk changes a lot, so being a cyber insurer is important to help clients deal with cyber incidents.

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