Launch of the Active Cyber Policy
Coalition has introduced a redesigned cyber insurance policy. The Active Cyber Policy protects against modern digital threats like Funds Transfer Fraud, AI Deepfakes, and AI-caused system errors. This version updates its surplus lines coverage in the U.S. with clearer language and broader cyber insurance protections in an evolving digital risk landscape.
Enhanced Features and Expanded Protections
The policy includes several new features:
- Vanishing Retention: Retention drops to zero with each claim-free year for policyholders practicing strong cybersecurity protocols.
- Early Fraud Reporting Incentive: Reduced retention for Funds Transfer Fraud (FTF) when reported within 72 hours of the first incident.
- AI-Specific Coverage: Now covers AI-driven risks such as deepfakes and AI-caused system errors.
- Any One Claim Coverage: Policy limit resets with each separate incident during the coverage term.
Simplified Structure and Integrated Agreements
Coalition has incorporated 11 previous endorsements directly into the base policy. This aims to simplify understanding and improve transparency for brokers and clients. The updated terminology also reflects today’s cyber risk landscape more clearly.
Executive Perspective on Active Insurance
Shawn Ram, Coalition’s Chief Revenue Officer, emphasized the proactive nature of the product, saying, “Active Insurance is built on the predication that proactive security measures significantly reduce the frequency and severity of claims,” he said.
Policy Availability and Access
Starting April 15, 2025, the Coalition Active Cyber policy is available to U.S. businesses with up to $5 billion in annual revenue. Policy limits go up to $15 million.
Other News: Coalition Launches Active Cyber Insurance in Australia to Fortify Digital Defenses(Opens in a new browser tab).
