CyberCube, the cyber analytics provider for the insurance industry, has released an updated version of Portfolio Manager, the cyber risk modeling platform. Portfolio Manager allows insurers to stress test re/insurance portfolios against a range of systemic cyber-related scenarios, including data breaches, cloud outages, global ransomware attacks and financial fraud.
The update takes account of the evolution of cyber threats since launching a fully probabilistic cyber catastrophe model in 2018.
CyberCube said it has worked with leading market participants over the last 24 months to develop its latest cyber catastrophe model.
“In this update, we have taken a fresh look at scenario class narratives, event frequencies, occurrence footprints, and scenario-level loss severity calculations. In addition, we’ve added several new scenario classes, addressed user feedback and added functionality so that this product version is even more user friendly and robust,” said Josh Pyle, CyberCube’s actuarial director.
An increase in the reliance on the cloud across most industries has resulted in a change in the exposure profile of companies, said CyberCube, noting there also has been an uptick in the use of ransomware as an attack vector over the past two years, coinciding with a shift in geo-political tensions between nation states.
Cyber insurance contracts have seen a moderate expansion on coverages and limits but business interruption continues to be the core driver of cyber aggregation risk across insurance portfolios, CyberCube said in a statement.
“Cyber is a dynamic, man-made peril so it’s important we update the model to reflect the current threat landscape. This gives us the chance to explicitly address new and revised assumptions and incorporate learning from events that have occurred since the initial launch,” said Pyle.
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