Within both the market and contracts the exclusion of communicable diseases is unsurprisingly a key focus, but there are other, similarly difficult to predict losses that companies should be examining, according to industry experts.“While cyber certainly shouldn’t be unexpected, I really don’t think we’ve got our arms around it, as yet,” said Heather Kitson, Deputy Chief Executive Officer (CEO), Convex Re, during a panel discussion focused on terms and conditions (T&Cs) at Prospectus 2021.
Towards the end of the debate, panellists stressed that while the ongoing Covid-19 pandemic has undoubtedly shifted the focus, in terms of contracts and their wordings, to the exclusion of infectious diseases, there are other exposures out there that the industry needs to address, such as cyber.
“I’m sure most will be familiar with the term silent cyber, for losses stemming from traditional property and liability policies that weren’t intended or designed to cover cyber risk, and therefore didn’t implicitly include or exclude cyber risk. This coverage ambiguity can still result in silent cyber or non-affirmative cyber coverage,” said Kitson.
Adding, “This shouldn’t be…
