insurance industry – РИСК-АКАДЕМИЯ – АНО ДПО ИСАР

Insurance industry has been a shock absorber during COVID-19

riskacademy — Tue, 08 Dec 2020 07:25:38 +0000

The National Insurance Academy’s (NIA) organised its 16th Annual Insurance Summit as a virtual event yesterday.

The event with the theme ‘Changing dimension of insurance risks – strategies to combat emerging challenges,’ saw a cross-section of industry leaders speak on the challenges and opportunities facing the insurance industry in India today as a result of the COVID-19 pandemic.

NIA director G Srinivasan spoke about the transformational phase of the industry amid the COVID-19 pandemic and emphasised the importance of collaborative risk management for handling emerging risks like climate change, pandemics and cyber risks.

IRDAI member non-life T Alamelu said that the insurance industry has shown resilience in facing the COVID-19 pandemic and worked as a shock absorber for the economy. “The pandemic has worked as a catalyst for the insurance industry to be ready with their proactive plan for future events like this pandemic,” she said.

Speaking about the huge surge in demand for health insurance over the past eight months, she said that the IRDAI had requested the industry to come out with standardised health insurance plans and to simplify and…

M&A insurance: boring uncle or cool cousin? Creating value and inspiring other key deal insights to success

riskacademy — Wed, 11 Nov 2020 12:57:38 +0000

The Spectator, a weekly British magazine on politics, culture and current affairs, once mused that ‘t]he insurance industry is the boring uncle of the financial services family’ (https://www.spectator.co.uk/article/being-boring-has-shielded-the-insurance-industry-for-far-too-long). And one might, at first, be tempted to conclude that insurance in its classic sense – offering peace of mind, with any financial benefit accruing to the insured only in the event of a successful claim – has no obvious place in the M&A playbook.

However, transposing insurance and related instruments into an M&A context can not only support corporate restructurings, clinch transactions that would otherwise falter and unlock distressed deals: it can also create shareholder value. It’s for these reasons, which we expand on further below, that deal-makers and their advisers now routinely include insurance on their agenda, just as much as operational risk managers, albeit for quite different reasons.

Ironically, the successful application in M&A of warranty & indemnity (W&I), tax and related insurance solutions (together, M&A insurance) has also illuminated areas where risk transfer and similar…

Cyberscout lead on the need for proactive cyber solutions

riskacademy — Sat, 07 Nov 2020 13:37:29 +0000

“No-one likes making claims,” Spier stated. “And it seems like that’s news to some people in the insurance industry, but people hate doing it and they will do anything to avoid it. If you have a car accident in a car park, you will probably explore how much it will cost for you to settle the claim privately, and how you can avoid telling your insurance company. The fear is that the insurer might try and get out of a claim, or that it’s going to affect your no claims discount and you won’t be able to afford insurance next year when you go to renew. And so, you don’t access the services available.”

When it comes to cyber, he said, there is a genuine opportunity for individuals and businesses to have access to advice and information without having to make a claim, without having to pay a deductible and without having to worry how their insurance policy will be impacted. A lot of people are often simply concerned about a potential problem, and is reflected by the fact that about 40% of the calls Cyberscout receives are proactive in nature.

Spier highlighted that proactivity is key to the cyber services offered…

Is the pandemic offering the insurance industry a silver lining?

riskacademy — Thu, 05 Nov 2020 06:25:18 +0000

Case, who hosted the virtual chat, said that although the coronavirus pandemic has dealt a huge blow to the industry, it has also “created a window for change and innovation that the industry has never seen before.” He then asked Burberl what he thought were the biggest lessons the industry could take away from the pandemic.

Buberl said, for one, the lockdown had emphasized the importance of digital interaction with customers.

“We have invested more in technology to meet demand and we want to continue on this journey,” he said. “Also, as with others in the industry, we have all seen a call for greater [insurance] contract clarity. Customers, brokers and insurers see the need for clear contracts.”

Burberl also said that providing adequate coverage for pandemic risk calls for risk sharing between private companies and public entities in a manner that is already in place for terrorism and natural catastrophe risks. He added that cyber risk will likely need the same approach.

Case said that cyber security events could pose as much of a threat as the coronavirus pandemic but warned that the market for cyber risk…

IAM: A Critical Element of Corporate Risk Literacy

riskacademy — Thu, 05 Nov 2020 01:23:44 +0000

Risk is relative. What one person perceives is a significant risk may be observed simply as irritation to another. Others may not see it as a threat at all. However, the ability to recognize a risk when it appears and appropriately address it to reduce the danger of damage that it poses is perhaps the essential job of today’s CEOs and CISOs. Having a well-informed and trained organization that demonstrates ‘risk literacy’ in all its sectors makes that job easier.

What is ‘Risk,’ and How Do You Manage It?

A risk emerges when something or someone is threatened with harm or a loss of some kind. A ‘risk’ can be many things, depending on the situation in which it arises. Different industries assess risks differently:

The insurance industry measures ‘risk’ to determine the price of a policy or the potential cost of a payout when damages do occur.
The financial industry measures risk in terms of the value of possible financial returns or losses based on the circumstances of a financial transaction.
The business industry balances a risk of investment losses with the potential for significant economic gains that might flow from a new product or process. …

APCIA Annual Meeting: Guy Carpenter Insights

riskacademy — Mon, 26 Oct 2020 05:19:22 +0000

Guy Carpenter recently published insights on the critical issues shaping the reinsurance industry to coincide with the 2020 APCIA Annual Meeting. Topics covered in the articles center around the changing nature of risk, specifically the evolving landscape for cyber, wildfire and broader casualty risks.

The Changing Nature of Risk: There is an old adage that “adversity builds character.” However, before adversity builds character, it reveals character, and the numerous catastrophes that have occurred over the last several years combined with the ongoing pandemic have clearly revealed the character of the insurance industry, according to John Trace, CEO, North America, Guy Carpenter, and Jay Dhru, Global Head of Business Intelligence, Guy Carpenter.

Read the article >>

Why 2020 Has Made the Ever-Evolving Cyber Landscape Even More Dynamic: The insurability of systemic cyber risk will be one of the defining issues of the next decade for the (re)insurance sector. Rapid technological changes and digitalization in particular have already transformed the characteristics of risks assumed by the (re)insurance market, according to Guy Carpenter colleagues Will Garland, President,…

Different models for cyber security

riskacademy — Tue, 06 Oct 2020 13:26:21 +0000

As in all good Hollywood movies there is a secret way into the castle – maybe a tunnel, a postern gate or a small iron grille over a sewer – which is known only to the people who built it. This is the software ‘backdoor’ created by the original coders of the system which still exists but has been forgotten about. Also bear in mind that the wagons bringing essential goods into your castle are a vulnerable element. In the Hollywood movie, the enemy hijack the wagons and enter the castle in disguise. In a cyber context, this is known as a Trojan attack, named after the Trojan horse that concealed Greek warriors in the Iliad.

The castle model of cyber security is a useful way of illustrating some simple cyber security concepts, but it has a major flaw which is this – where do you put the wall? As the world becomes both more mobile and more interconnected, it is increasingly hard to draw the line between inside and outside from a system standpoint. This issue, known rather clumsily as de-perimeterization, is a big challenge for security professionals.

Read next: Cyber risk may eventually surpass insurance industry’s…

Gallagher partners with Amplify Intelligence to provide an exclusive opportunity to access their cyber-safety service

riskacademy — Fri, 25 Sep 2020 00:58:16 +0000

Amplify Intelligence Cyber Security Experts

brAIn-box Device as part of the Cyber Safety Solution

Gallagher partners with Amplify Intelligence to provide an exclusive opportunity to access their cyber-safety service

Amplify Intelligence, leaders in SME cyber security services have partnered with Gallagher, helping to detect threats and manage cyber risk.

‘We’re starting to see criminals move away from attacking larger organisations that present more complex defence mechanisms and instead target SMEs…’”

— QBE Cyber and Technology Specialist Ben Richardson

MELBOURNE, VIC, AUSTRALIA, September 25, 2020 /EINPresswire.com/ — Recognising the value of the partnership between Amplify Intelligence and Gallagher to measure cyber risks derived from critical datasets, AustCyber awarded funding to this project as part of their $15 million Projects Fund, a three-year initiative designed to help the Australian cyber security industry grow and take ideas globally.

Amplify Intelligence’s partnership with Gallagher to improve cyber solutions for the insurance industry will enable them to provide a…

CyberCube named among fastest-growing fintech start-ups

riskacademy — Wed, 02 Sep 2020 10:56:50 +0000

Cyber analytics provider CyberCube has been recognised in this year’s CB Insights Fintech 250 List of the fastest-growing fintech start-ups. The list spotlights emerging companies that focus on financial technology.

“We’re proud to have been included in CB Insights’ Fintech 250,” said CyberCube CEO Pascal Millaire. “This is a global listing highlighting some of the most exciting and important work taking place in the financial services sector. This is recognition of the hard work of our teams around the world and our drive to support the insurance industry as it strives to respond to the new frontier of cyber risk. Ultimately, our aim is to transform the insurance sector’s understanding of cyber risk through our people’s expertise and innovative technology.”

“We’re proud to once again recognise the 250 best private fintech companies…

Hackers can now unleash physical damages, personal injury

riskacademy — Tue, 25 Aug 2020 17:13:02 +0000

It’s important for insureds to carefully review current liability and cyber policies to determine what coverages and gaps may exist. (ALM Media archives)

As cyber criminals become ever more ruthless, the risks and damages that these hackers can unleash on insureds become more serious. Insurance and risk professionals can create value for clients by staying current on the latest cybersecurity threats and mitigation efforts, including those that may result in physical losses or personal injury.

Such events are now known as “cyber-physical attacks.” While these attacks and this risk are not new, the insurance industry as a whole has been slow to respond to them.

Evolving coverage needs

Traditional cyber insurance policies often exclude coverage for bodily injury, whereas marine and hull cargo insurance policies often exclude coverage for “loss, damage, liability, or expense directly or indirectly caused by or contributed to by or arising from the use or operations, as a means for inflicting harm, of any computer,” for example.

Policyholders may have good arguments that commercial general liability (CGL) insurance policies should cover third-party liability claims…