Guy Carpenter, a global risk and reinsurance specialist and business of Marsh McLennan, has launched its new cyber reinsurance product, CatStop+, a “first-of-its-kind” market-tested structure designed to address the volatility of cyber risk.
According to Guy Carpenter, CatStop+ helps solve a range of issues that cyber (re)insurers face, “striking a balance between coverage” from peak perils, tail protection and cost-effectiveness, while “bringing clarity” to the recovery of losses resulting from a severe cyber event.
“Leveraging proprietary wording, flexible architecture, and analytics from GC’s CyberExplorer(r) DataLake, the approach provides low-attaching catastrophic protection without the potential for basis risk,” the firm explained.
Guy Carpenter reportedly completed its first transaction under CatStop+ during the January 1, 2024 renewal period.
Erica Davis, Global Co-Head of Cyber, Guy Carpenter, commented, “CatStop+ offers our clients protection against cyber cat losses with transparency and timeliness.
“It addresses event definition basis risk concerns with a sleep-at-night aggregate stop loss cover, while also achieving cost efficiencies.
“We are thrilled to offer our clients the reinsurance solutions they need as the cyber market continues to evolve.”
