Chartis has introduced CyberEdge Tower, an insurance product that provides catastrophic network security and privacy protection. It provides total aggregate limits of liability of up to $100 million that are structured to allow the insured to cost-effectively retain up to the first $50 million of loss. The solution will be delivered via the Chartis insurers’ Specialty Risk Protector insurance policy.
With growing concern about catastrophic cyber security and privacy exposures, as well as the likelihood of increased regulation and enforcement, companies are proactively addressing cyber risk and insurance disclosures. The SEC’s recent Disclosure Guidance on Cybersecurity makes it clear that cybersecurity risks should be elevated from an IT department issue to a boardroom priority. Accordingly, companies are reconsidering whether they can, or should, retain all of the potential risk of a cyber incident.
“Before the CyberEdge Tower solution, companies with large cyber exposures had limited cost-effective options and were primarily self-insuring,” said Chandra Metzler, product line executive, Chartis Financial Lines, U.S. and Canada.
CyberEdge Tower provides customers with Chartis’ insurance products and claims handling, while allowing companies to retain the cost advantage of funding their own losses.