Cyber security’s strategic shift
Insurers are increasingly seeking more nuanced approaches to risk management, moving beyond traditional treaty reinsurance’s broad portfolio coverage.
This strategic shift reflects the growing complexity of contemporary risk landscapes, particularly in emerging technological domains.
Recent research highlights cyber insurance’s paradoxical position in the market. It simultaneously represents a significant business opportunity and a substantial concern for 58% of industry professionals.
This ambivalence is propelling a demand for more sophisticated facultative solutions that enable insurers to engage with cyber coverage while maintaining precise risk control.
Armando Montenegro, Head of Facultative for Latin America at WTW, provides critical insight into this dynamic environment. “The rapid development of AI introduces unprecedented uncertainties,” he explains. “As technology continuously evolves, we anticipate more carriers developing protective strategies for their clients, while cedents explore facultative cover to mitigate emerging technological risks.”
The trend underscores a critical transformation in insurance: from standardised,…
