Senate places a focus on cyber insurance coverage against data breach

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A subcommittee is currently looking into the protection that is required for consumers through those policies. U.S. Senator Jerry Moran (R-Kansas), the chair of the Subcommittee on Consumer Protection, Product Safety, Insurance, and Data Security recently held an “Examining the Evolving Cyber Insurance Marketplace” hearing to place the focus on the issue of data breaches. This hearing looked into the market selling policies that are meant to provide consumers with protection against cyber attacks. It examined the rapidly growing cyber insurance market and heard experts speaking about the various challenges,…

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Cyber insurance industry is hunting for expertise

risk industry cyber insurance

As the demand for this risk coverage skyrockets, insurers are looking for experience and skills in handling the problem. While insurers are watching the tiny cyber insurance coverage market spike and grow at an exponential rate, they frequently don’t have the type of skills and experience that are necessary to actually handle data breaches and hackers to be able to provide the type of service that would be required to offer this type of product. It is becoming almost commonplace to hear about high profile data breaches among massive corporations.…

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Terrorism insurance reinforcements will soon be expiring

terrorism insurance industry news 9/11 Memorial in 2004

Two competing renewal bills for the Act will soon be redefining the level of federal support for private insurers. As a result of a rash of damages and vandalism following the attacks on 9/11, terrorism insurance faced a total estimated loss of $32.5 billion, which caused insurers to start to create exclusions for the coverage for commercial properties across the country. Businesses struggled to be able to find coverage to protect themselves against financial losses from acts of terror. The concern from cities and states was that this lack of…

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Business insurance is harder to find as Iraq breaks down

Iraq business insurance

Multinationals are discovering that insurers aren’t offering products to protect from financial loss in that country. As Iraq suffers from deepening insurgency, it is becoming increasingly difficult for multinational corporations to be able to find the business insurance coverage that they need to be able to protect themselves from the potential financial losses that they face from doing business in that country. It has reached the point that “political risk” insurance is nearly impossible to purchase. Without that form of business insurance, companies wouldn’t have any protection against having their…

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Is Cyber Insurance Really Necessary?

Cyber Insurance

Society is becoming more integrated with technology and that is exposing businesses to new threats that they may not be prepared to deal with. Cyber insurance is designed to be a type of protection against these threats, but many businesses have yet to fully embrace this protection. Large companies tend to have cyber liability policies in force, but smaller companies do not typically see this type of coverage as necessary, mostly due to the misconception that they are not high value targets. High profile cyber attacks are often highlighted in…

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Industrial insurance on the rise due to cyber threats

industrial insurance

This, according to a recent announcement made by Allianz, the largest insurer in Europe. Allianz, the biggest insurer in Europe, has just revealed that its analysis of Eastern Europe, Asia, and Brazil is experiencing an increase in cyber threats and that this is driving industrial insurance revenue. The insurer, based in Munich, has determined that this unit will experience growth from this risk. According to chief executive officer, Axel Theis, of Allianz’s Allianze Global Corporate & Specialty industrial insurance unit, “New products such as cyber-risk protection and coverage for renewable-energy…

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Business insurance costs are on the rise from class action suits

Business insurance australia

These Australian lawsuits are starting to increase the expenses associated with this form of coverage. The business insurance industry is facing considerably higher costs due to the rising number of payouts being made in shareholder class action lawsuits, and this trend is causing the premiums for directors’ and officers’ coverage to rise. In 2012, there was an estimated total of $506 million in class action settlements made. This was an increase of approximately $200 million over the total payouts that were made in 2007. This, according to a report by…

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North American companies avoiding cyber insurance according to Towers Watson

Insurance Industry - Bank Heist

Are companies leaving themselves vulnerable to a cyber attack? Towers Watson, a leading consulting firm with expertise in risk assessment, has released its annual review of corporate risk this week. The firm surveyed several corporations throughout North America and found that most do not take cyber security seriously, especially in terms of insurance coverage. The firm has also found that the corporations purchasing cyber security insurance are doing so in limited capacity and seem unwilling to purchase comprehensive coverage. This may be a problem in a world where the Internet and…

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