Cyber risk is a critical concern for business leaders. According to the World Economic Forum's 2018 Executive Opinion Survey of more than 12,500 executives, large cyber-attacks are ranked as the #1 risk for doing business virtually across all advanced economies. As companies develop their approach to this dynamic and challenging threat in 2019, there are some emerging trends ... Continue Reading »
cyber security
The Role of Cyber Insurance
Corporate directors increasingly view cyber insurance as providing more than protection coverage but also as an important component of cyber risk management that can support response and recovery plans, according to the report Cyber Risk Management: Response and Recovery, from Marsh & McLennan’s Global Risk Center and WomenCorporateDirectors. ... Continue Reading »
Determining Needed Cyber Coverage
Few firms take advantage of the sophisticated economic models that allow them to effectively assess the likelihood of a cyber-attack, according to a survey by Guy Carpenter sister company Marsh in partnership with Microsoft. ... Continue Reading »
Chart: The Matrix of Cyber and Property Lines Insurance Coverage
Chart examines the policy coverage matrix between cyber and property lines of insurance coverage. Below shows how the four types of subject matter (columns A-D) are generally covered by direct policies, relative to the various types of cyber and property perils (rows 1-5). Where cover is predominantly provided by property or cyber, the relevant icon is shown in blue. Where ... Continue Reading »
The Regulatory Landscape of Data Privacy
Here we bring together all the elements of our recent GC Capital Ideas series on the regulatory landscape of data privacy. From the European Union’s General Data Protection Regulation (GDPR) to the National Association of Insurance Commissioners (NAIC) Model Law and the New York State Department of Financial Services Regulation (NYDFS), to the California Consumer Privacy Act ... Continue Reading »
Revisiting War Exclusion in Cyber Policies
With two cyberattacks labeled as being state-supported – NotPetya and WannaCry attributed to support from Russian and North Korean governments, respectively – insurers and insurance buyers should begin a discussion about the wording of war exclusion in cyber insurance policies. ... Continue Reading »
Being Prepared for Cyber Terrorism
Cyberattacks backed by hostile governments are increasingly a reality; companies should adopt strategies to strengthen cyber resilience. Marsh’s 2018 Terrorism Risk Insurance Report, produced with support from Guy Carpenter, suggests that companies should implement strategies for scenario-based testing, quantifying the potential financial impact of an attack and reviewing ... Continue Reading »
Large-Scale Cyber-Attacks on the Financial System
Cyber-attacks on financial institutions are becoming more frequent, complex, and sophisticated, with potential for far-reaching, systemic impacts. The motivation of cyber-attackers is shifting from purely achieving financial gains to disrupting critical infrastructures, such as through nation-state attacks, which threatens the basis for confidence in the financial system and ... Continue Reading »
Cyber Risk Management: Ten Questions to Ask Management About Your Organization’s Cyber Readiness
The annual economic cost of cyber-crime is estimated at USD 1.5 trillion and only an estimated 15 percent of that loss is currently covered by insurance. When the next cyberattack comes-and it is a "when," not an "if"-boards want to be reassured that their organization is prepared to respond and mitigate the damage. However, research by WomenCorporateDirectors (WCD) and the ... Continue Reading »
Cyber Risk Management Response & Recovery
The annual economic cost of cyber-crime is estimated at US$1.5 trillion, yet only an estimated 15% of that loss is currently covered by insurance. Given these staggering economic losses, and the increasing frequency with which attacks occur, it's no surprise that cyber insurance is increasingly being recognized as a critical tool to enhance cyber resilience. The Organization of ... Continue Reading »
