Reinsurers Face Challenges in Cyber Insurance Market 

Growth of cyber reinsurance is limited by inadequate risk assessment tools and capital limitations…

“Cyber limits have contracted, and insurers have significantly increased rates so the profitability of the portfolios is better, said Tim Gardner, New York-based global CEO of Lockton Re, a unit of Lockton Cos LLC.

‘I think reinsurers are pretty comfortable reinsuring the business, the problem is just capacity; we’re running out of capital to support the business,’ he said.”

 

Source: Reinsurers eye cyber potential, remain wary of expansive risks | Business Insurance

Mark Sauter

Mark Sauter’s insights on the financial, policy and security elements of cyber insurance are based on years of experience in the investment banking, media and business worlds. Co-author of the McGraw Hill university textbook “Homeland Security: a Complete Guide,” Sauter was also a consultant to one of the world’s largest software companies and served as a US Army Special Forces and infantry officer.