BY MARK E. RUQUET
HUNDREDS OF exhibitors represent- ing myriad insurance interests and specialties assembled at the Risk
and Insurance Management Society’s
50th annual meeting in Philadelphia.
National Underwriter met with them
to discuss some of the new offerings
they presented to the thousands of
risk-management attendees on hand
for the four-day event.
Now, the first-party coverage will cover
costs resulting from cyber attacks that
include forensic investigation to determine
what happened and who was harmed;
the quake’s magnitude. The compensation
offers up to 3 billion yen if the event’s
magnitude is 7. 4 or greater.
cost of notification; reputational risk; and
exposure to fraud and telecommunication
theft, such as billing for long-distance
phone calls the policyholder never made.
DEALING WITH SUPPLY-CHAIN EXPOSURE
Following 2011’s lessons in
global business interruption due
to catastrophes, Supply Chain
exposure is a growing concern
among risk managers—and AIR
Worldwide has addressed that
concern with the expansion
of its suite of Catastrophe Risk
Akshay Gupta, AIR’s senior
principal engineer and director of
catastrophe-risk engineering, says
the new offering helps risk managers better
understand the probability of exposures to
their supply chains, including political risk.
The analysis can run from just a
portion of the supply chain to 100 percent
to understand “the interdependent action
of multiple events” on their business,”
RISK-ANALYSIS DASHBOARD & CYBER RISK
Travelers’ Michael J. Strietelmeier,
second vice president, risk-management information services,
presented the company’s risk-analyzer dashboard in its e-CARMA suite of
information services and tools.
The new Web-based analyzer allows a
risk manager to compile various loss data
into an easy-to-use statistical format with
just a few clicks.
The dashboard, which is custom-assembled for clients by Travelers, includes
loss data going back five years to provide
a granular picture of a company’s claims
history and helps discern patterns of loss.
“This was built by risk-management
professionals for risk managers,”
The analyzer is geared toward
companies in the mid-to-large-
size range, with a claim frequency
of 50 to 100 incidents a year.
Travelers also unveiled an enhanced
version of its CyberFirst product that
Kirstin Simonson, underwriting director
of global technology, says expands its
coverage to first-party coverage options.
In the past, the product only covered
third-party cyber liability such as
technology errors and omissions, network
and information security liability, and
communications and media liability.
SWISS RE LOOKS TO INCREASED SPEED OF PAYOUTS
Swiss Re has announced its Business Continuity
Expense Coverage, offering quick cash
payouts and enhanced flexibility to
businesses damaged by seismic activity.
The insurance product, designed three
years prior and licensed in 2011, was first
introduced in Japan as a buffer
against loss damage, the cost of
debris removal and extra expenses
in line with business continuity.
“Japanese businesses were
running out of cover quite
quickly due to gaps in coverage,”
Serge Troeber, chief underwriting
officer at Swiss Re, tells NU.
“This [business-continuity plan]
provides funding based on a defined trigger
related to an intensity-to-payout ratio.”
“It pays out quickly once triggers are hit,
providing for realistic extra expenses,” he
adds. “Companies may have to order new
goods, hire additional short-term employees
and advertise that they are still in business.”
Swiss Re calculates the payout based
on a professional estimate of property
damage or loss-of-profit trigger based on
The exhibition floor at RIMS