An example from broker Conner Strong & Buckelew: “A key thing to convince the insurance companies to get onboard was having a large retention… We decided to implement a large deductible to start with, large enough to deal with many of the claims that we see from membership, and also to give the members an incentive to improve their controls.
So let’s say we start with a $100,000 deductible for the member — that’s huge relative to any other insurance that they have — so we incentivize them by saying that if you get into compliance and implement this set of controls, we’ll cut your deductible in half. With another set of controls, we’ll drop it even lower, and if you do everything in the cybersecurity framework, we’ll bring the deductible down to zero.
That’s how much we believe in our program.”
Ed Cooney fell into insurance, as so many in the space do. Since then, he’s carved out his niche in cyber planning for public entities.
Source: Rising Star Ed Cooney Reveals the Intricate World of Cyber in the Public Sector Space