December 13, 2024 at 08:37AM
Lloyd’s of London has launched a cyber insurance consortium aimed at creating a shared risk facility for qualified organizations. This initiative offers exclusive rates, simplified processes, and comprehensive coverage, particularly for those with HITRUST certifications, including a significant premium discount. The consortium aims to improve underwriting efficiency and broaden participation.
### Meeting Takeaways
1. **Lloyd’s Cyber Insurance Consortium Launch**:
– Lloyd’s of London has initiated a cyber insurance consortium to establish a shared risk facility in the cyber insurance sector.
2. **Benefits of the Consortium**:
– Offers exclusive rates and simplified processes for eligible organizations.
– Targets organizations with HITRUST certifications for improved insurance conditions.
3. **Shared Risk Facility**:
– This is a collaboration of insurance firms that share underwriting risk, enhancing product consistency and capacity.
– The consortium plans to grow as additional AA-rated insurers join.
4. **Eligibility and Discounts**:
– Organizations with HITRUST certification receive a starting credit of 25% on premiums.
– Certification allows for streamlined underwriting, with some policies potentially underwritten within one week.
5. **Policy Features**:
– New policies will adopt a single-page exclusion model.
– Increased capacity will be available for participating organizations as the consortium expands.
6. **HITRUST’s Role**:
– HITRUST has developed a secure API to provide insurers with structured data on organizations’ HITRUST r2 certifications, assisting in the underwriting process.
7. **Future Plans**:
– Expansion of eligibility to other certification types, including HITRUST’s AI Security Certification, is projected for 2025.
8. **Quote from Leadership**:
– Josh Ladeau, CEO of Trium Cyber, emphasized that integrating HITRUST certification into underwriting allows for tailored cyber insurance solutions that reward adherence to high security standards.