Cyber risk is pervasive.
As connected software has become embedded in the practices of nearly every business, cyber risk has become a factor for all lines of commercial insurance. It’s a broad peril, and the universe of potential implications from cyber events can’t be fully addressed by any single policy. Yet most commercial policies are “silent” on coverage for cyber, or explicitly exclude it. That leaves carriers, brokers and insureds alike exposed to unknown losses because of the gap in coverage.
At Corvus, we are working to address this so-called “silent cyber” risk across the many commercial insurance coverage areas where clarity is lacking.
Today we are pleased to announce our first offering in this area with Smart Cargo + Cyber.
Cargo losses that involve cyber perils don’t always fit the standard Cargo Insurance policy language describing physical loss to property. Likewise, they sometimes are uncovered by many Cyber Insurance policies. Many businesses involved in cargo have inadequate coverage for these losses: either they have no cyber coverage at all, or their needs are too specialized to be addressed with coverage from a monoline cyber policy.
That’s why we expanded our data-driven Ocean Cargo Insurance policy with an affirmative Smart Cyber™ endorsement that is tailored for the specific types of cyber risks businesses face when goods are in transit. This clarifies coverage for the issue of goods diverted by a cyber hack for brokers and policyholders.
Everything brokers already love about Corvus’s Smart Cargo Insurance policy remains — we will continue to use risk models built on billions of data points from IoT sensors that drive underwriting for our policies. With Smart Cargo + Cyber, we are adding to that policy an endorsement that features the same technology behind Smart Cyber Insurance, our monoline cyber insurance product.
The Corvus Smart Scan will deliver automated underwriting of cyber coverage for your Ocean Cargo clients, with coverage for Business Interruption and Contingent Business Interruption offered based on the client’s Corvus Score, a holistic measure of their organization’s IT security. We offer options of $1MM and $2MM limits for the Cyber endorsement.
Our goal at Corvus is to help you and your clients avoid cyber incidents altogether, through better understanding of risk.
With each Cargo + Cyber policy, policyholders participate in our Dynamic Loss Prevention (DLP) program. Our DLP Reports, which are provided upon issuance or renewal of the policy as well as quarterly during the policy period, outline the policyholder’s cyber risk footprint. They explain in clear terms what their largest risk areas are, and provide prioritized recommendations for insured organizations to better manage their Cyber risk.
We’re thrilled to be offering this industry-first policy to address “silent cyber” risk for the Ocean Cargo market and are equally excited to continue building products that address pervasive cyber risk across commercial insurance lines.
We gathered some thoughts from insurance and cybersecurity veterans, from Corvus and elsewhere, and shared where they see trends moving in cyber in 2020.
Mike Karbassi is Vice President and Head of Cyber Underwriting at Corvus. He specializes in Network Security, Privacy Liability, Technology E&O, Media Liability, and Miscellaneous Professional Liability. Karbassi has over a decade of experience in insurance and is a graduate of the Boston University Questrom School of Business.
Gerritt is the Chief Commercial Officer at Corvus. He has over 20 years of sales and marketing experience, primarily focused on technology and data solutions for the financial services industry.
James co-founded Corvus and is the company’s Chief Technology Officer. A 30+ year technology veteran, Jaimie most recently served as CTO of Iora Health and previously co-founded Gazelle.
Mike Lloyd is the Co-Founder and Chief Product Officer of Corvus Insurance. Previously, Mike co-founded Poncho, a personal lines agency InsurTech startup, and was a venture investor at FJ Labs. Mike has an MBA from Harvard Business School and engineering degrees from Virginia Military Institute and MIT.
Phil is the founder and CEO of Corvus. A 30+ year insurance veteran, Phil co-founded broker William Gallagher Associates (acquired by Arthur J Gallagher in 2015) and was an active leader in both the Worldwide Broker Network and Council of Insurance Agents and Brokers. Phil is the Managing Partner of Edmus Ventures where he invests in InsurTech companies including Verifly, Wellthie, Agentero, and Cover Wallet, and serves on the board of Cover Wallet.