Small businesses often struggle to secure comprehensive cyber insurance due to limited coverage options and stringent underwriting criteria, leaving many vulnerable to cyber threats. With that in mind, Corvus Insurance has announced several enhancements to its underwriting capabilities and cyber services. These updates aim to expand the company’s reach and better serve its policyholders.
For its Smart Cyber Insurance® product, Corvus has increased its coverage limits to $10 million for aggregate covered losses. The company has also raised the maximum annual revenue for eligible companies to $5 billion, allowing larger enterprises to benefit from its cyber insurance solutions.
Additionally, Corvus, a subsidiary of The Travelers Companies, has expanded its focus on small businesses with annual revenues under $30 million, particularly targeting the sub-$10 million segment to provide comprehensive cyber coverage.
All Corvus insurance products are now underwritten on Travelers Excess and Surplus Lines paper, a transition that was fully completed earlier this year. This change enhances the company’s ability to offer reliable coverage across various business classes.
Significant Cybersecurity Challenges
According to the 2024 Sophos Threat Report, small businesses face significant cybersecurity challenges. They are particularly vulnerable to ransomware, which remains the biggest cyber threat, and data theft from malware such as password stealers and keyloggers. The report indicates that small businesses are often more susceptible due to a lack of experienced security staff and smaller IT budgets. Cyberattacks can result in substantial recovery expenses that may force some small businesses to close.
The 2024 Sophos Threat Report highlights that over 90% of global businesses are small and medium-sized, contributing over 50% of employment worldwide. In the United States, these businesses account for over 40% of economic activity. The report underscores the critical need for enhanced cybersecurity measures and comprehensive insurance coverage to protect these vital economic players.
Mike Karbassi, Chief Underwriting Officer at Corvus Insurance, emphasized the company’s commitment to data-driven underwriting and adaptability across different market conditions. “Our ability to use data and the skill of our underwriting team to underwrite effectively across segments and sizes of business through varying market conditions sets us apart,” Karbassi said. He expressed excitement about the expanded scope of businesses Corvus can now serve through the partnership with Travelers.
These enhancements position Corvus Insurance to better meet the growing demands for cyber insurance, particularly among small businesses, and strengthen its role in the cyber insurance market.
Source: Corvus Insurance Doubles Underwriting Offering, Expands Small Business Cyber Offering.
Other News: Travelers To Aquire Cyber Insurer Corvus(Opens in a new browser tab).