Verisk ISO’s new cyber insurance programme, which features rating information and advisory loss costs along with an array of cover options, has been implemented in 42 states and U.S. territories.
The programme is designed to help insurance companies expand into the growing cyber market, which is forecast by Verisk analytics to reach $6.2 billion in premiums by 2020, with annual take-up rates growing 20% to 30% per year.
Maroun Mourad, President of commercial lines at ISO, said: “Cyber risk is changing at a rapid pace, leaving many insurers without the tools they need to serve the growing market. Our rating plan features unprecedented levels of detail in primary and excess pricing information, and our flexible coverage solutions can help insurers protect businesses from cyber risk in a timely, insightful, and operationally efficient manner.”
The ISO programme features advisory loss costs using 17 different rating variables, which is over three times the number of variables typically used today, and which was developed using predictive analytics applied to more than 32,000 historical cases.
Prashant Pai, Vice President of cyber offerings at Verisk, said: “Cyber insurance needs can vary significantly by both the industry and the size of the business. The program we’ve introduced provides insurers with versatile tools to help meet the wide range of companies in the marketplace.”
The programme offers coverage solutions for small and midsize businesses, which are often the most vulnerable to cyberattacks, as well as cover for large commercial enterprises, government and nonprofit organizations, and financial services and media companies.
