Under the deal, Hiscox will have full access to CyberCube’s Portfolio Manager, which will stress test the insurer’s book of business against various catastrophic cyber scenarios such as major ransomware attacks, cloud outages and so on. With cyber risk exposure a top concern for global businesses as we enter the new decade, it is highly likely that risk carriers will be making similar deals to protect themselves against bad actors.
“Analytics tools like [ours] are becoming a core part of an insurer’s toolkit,” said Pascal Millaire, CEO of CyberCube. “We’re delighted to be partnering with Hiscox to provide insights from our risk model to augment Hiscox’s existing capabilities as a leading specialist insurer.”
Hiscox’s Director of Underwriting Risk, Robert Caton, added: “We invest a great deal in understanding the risks we are exposed to. Cyber is an area where the potential for accumulation risk is easy to visualise and describe but challenging to size and calibrate as there have been few if any truly catastrophic market-wide losses. Partnering with CyberCube to access its modelling tools, data and specialists perfectly complements the internal expertise and capability we have developed over the past few years.”