The transfer of cyber risks via insurance started already in the 1990s. Early cyber insurance products covered only 3rd party liability claims. In response to the Californian Security Breach Information Act, which came into effect in 2003 and required businesses in CA to notify affected residents if their personal information was accessed by an unauthorized third party, the modern coverage scope of cyber insurance was quickly developed and introduced to the market (cf. ). In the following, we will have a look at the current coverage of cyber insurance policies, their triggers, and exclusions.
If you are interested in the up-to-date cyber insurance market figures, have a look at our Cyber Market Statistics.
References
AIR. 2019. “Silent Cyber Can Impact 8 Insurance Policy Families.” AIRWorldwide. https://www.air-worldwide.com/blog/posts/2019/12/silent-cyber-can-impact-8-insurance-policy-families/ (July 24, 2020).
AON. 2019. Client Alert – Cyber Risk Is D&O Risk. https://www.aon.com/getmedia/fe4bbe34-2bb9-4216-bd57-c5b2bf19883e/2019-May-FSG-Client-Alert-Cyber-Risk-is-DO-Risk_6-17-19.aspx.
Cartagena, S., V. Gosrani, J. Grewal, and J. Pikinska. 2020. “Silent Cyber Assessment Framework.” British Actuarial Journal 25: e2. https://www.cambridge.org/core/product/identifier/S1357321720000021/type/journal_article (July 23, 2020).
Majuca, Ruperto P., William Yurcik, and Jay P. Kesan. 2006. “The Evolution of Cyberinsurance.” arXiv:cs/0601020. http://arxiv.org/abs/cs/0601020 (November 17, 2020).
Romanosky, Sasha, Lillian Ablon, Andreas Kuehn, and Therese Jones. 2019. “Content Analysis of Cyber Insurance Policies: How Do Carriers Price Cyber Risk?” Journal of Cybersecurity 5(1). https://academic.oup.com/cybersecurity/article/doi/10.1093/cybsec/tyz002/5366419 (December 16, 2019).
Willis Towers Watson. 2019. “Quarterly InsurTech Briefing Q4 2018.” Willis Towers Watson. https://www.willistowerswatson.com/en-SE/Insights/2019/02/quarterly-insurtech-briefing-q4-2018 (July 7, 2020).
Wrede, Dirk, Tino Stegen, and Johann-Matthias Graf von der Schulenburg. 2020. “Affirmative and Silent Cyber Coverage in Traditional Insurance Policies: Qualitative Content Analysis of Selected Insurance Products from the German Insurance Market.” The Geneva Papers on Risk and Insurance - Issues and Practice 45(4): 657–89. http://link.springer.com/10.1057/s41288-020-00183-6 (November 1, 2020).