NEWS BRIEF
International insurance coverage big Lloyd’s of London has launched a cyber insurance coverage consortium to create a brand new shared threat facility for the cyber insurance coverage market, providing certified organizations unique charges, simplified insurance coverage course of, and complete protection.
A shared threat facility is a community of insurance coverage companies that conform to collaborate and share the underwriting threat of insurance policies. The consortium brings collectively a world community of Moody’s-recognized AA-rated insurers and is designed to scale as further insurers be a part of the group. By means of this mannequin, insurers can ship enhanced and extra constant insurance coverage merchandise and protection, in line with HITRUST.
Organizations searching for cyber insurance coverage which have HITRUST certifications are eligible for decrease insurance coverage charges by way of this system, together with a beginning credit score of 25% on premiums. The certification additionally permits for streamlined underwriting and an easier software course of. HITRUST mentioned in a press release that some insurance policies are being underwritten in “only one week.”
New insurance policies beneath the consortium have a single-page exclusion mannequin, and organizations that take part may have entry to elevated capability because the consortium grows to verify they’ve insurance coverage merchandise that meet their wants.
“By integrating HITRUST certification into our underwriting course of, we’re in a position to provide tailor-made cyber insurance coverage options that not solely acknowledge but in addition reward organizations for his or her dedication to stringent safety requirements,” mentioned Josh Ladeau, CEO of Trium Cyber, the underwriting lead for the initiative, in a press release
To allow this consortium, HITRUST developed a safe API permitting insurers entry to detailed details about a corporation’s HITRUST r2 certification. This fashion, insurers obtain structured, constant evaluation knowledge to facilitate the underwriting course of. There are plans to broaden eligibility in 2025 to different certification sorts, doubtlessly together with HITRUST’s AI Safety Certification.