Beazley has created a new cyber and executive risk division.
The new division, led by Mike Donovan, brings together Beazley's capabilities in cyber insurance and executive risk, including directors and officers (“D&O”) insurance and employment practices liability (“EPL”).
In a statement, Beazley said that its executive risk team currently insures more than 35 percent of the Fortune 500 and more than half of the companies comprising the Dow Jones Technology Index.
“We brought our expertise in these areas together for two main reasons,” said Mr. Donovan. “First, they are rapidly changing risks that are growing harder for companies to manage. Technological, social, and regulatory changes all impinge on these risks and it is critical for our clients to partner with an insurer that can keep pace with these changes. We provide, not simply insurance coverage to respond swiftly to claims, but detailed guidance on risk prevention, mitigation, and incident response.
“Second, the stakes are very high. We're protecting critical assets – our clients' data, their operations, their senior executives, and their corporate reputations. A cyber attack can put all of these assets at risk, but a class action lawsuit against a company's directors can be comparably damaging. And the acceleration and amplification of bad news through social media means that reputational damage can be inflicted faster and with greater effect.”
The business lines that have been combined within the cyber and executive risk division accounted in aggregate for a little over a quarter of Beazley's gross written premiums in 2018 and comprise some of its fastest growing products.
Learn more: www.beazley.com.