American International Group (AIG) said it launched a new Parametric Cloud Outage Solution, providing clients an additional layer of cyber insurance protection to help them recover faster from business interruption losses resulting from cloud service outages and cloud provider downtime.
Parametric insurance provides a predetermined payment when a specific event or policy trigger occurs. AIG’s new Parametric Cloud Outage Solution triggers are based on a predefined formula that considers cloud service downtime and the associated potential financial impact.
The solution, developed in partnership with digital infrastructure insurance solutions Parametrix, covers events like outages affecting cloud infrastructure, software-as-a-service platforms, or other cloud-based technology services, subject to policy terms and conditions.
“As businesses increasingly invest and rely on cloud-based solutions to better serve customers and run critical operations, even a short outage can have significant operational and financial impacts,” said Tracie Grella, global chief underwriting officer of cyber risk insurance at AIG. “AIG’s Parametric Cloud Outage Solution is designed to give organizations faster access to funds when disruptions occur, helping them respond with greater confidence and certainty while complementing their broader risk management and insurance programs.”
AIG said spending on cloud infrastructure services has increased steadily among businesses of all sizes. According to Synergy Research Group, global enterprise spending on cloud infrastructure services reached $129 billion in the first quarter of 2026, an increase of 35% from the prior year, the highest growth rate since 2021.
AIG’s Parametric Cloud Outage Solution’s key features include:
- A shorter waiting period of two hours
- No monetary retention following the waiting period
- Transparent, predefined policy triggers
- Rapid claims assessment and payout process
- Ability to manage cyber and cloud outage coverage through a single insurance policy
AIG’s Parametric Cloud Outage Solution is currently available in the United States as an endorsement for eligible AIG cyber clients.
Topics AIG
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