InsureTech Connect, Las Vegas, September 20, 2022: FCI, an MSSP focused on Financial Services, shared a new Pre & Post Breach Risk Management Model that synchronizes post-breach forensics and eDiscovery to pre-breach security assessments, cyber programs, controls, and compliance.
FitchRatings reported that cyber claims have risen by 100% annually in the past three years, and claims closed with payment grew by 200% annually over the same period. The cost of claims and forensics post-breach is not sustainable as denials increase and premiums rise to compensate.
Brian Edelman, FCI’s CEO states, “For a sustainable and sound cyber insurance market, Commercial Insurance Brokers will need to promote and facilitate pre-application cyber protection and compliance to Insureds. Linking and bridging pre and post-breach areas will lay a strong foundation for success and directly impact loss ratios.”
Responsibilities and Elements of FCI’s Pre & Post Breach Cyber Insurance Model:
- Carriers & Brokers: Adopt Pre & Post Breach Risk Management Model
- Brokers: Promote & Facilitate Pre-Application Cyber Protection & Compliance to Insureds
- Insureds: Commit to Protection & Compliance
- Pre-Breach MSSPs: Enforce & Evidence Insureds’ Protection & Compliance
- Post Breach Firms: Perform eDiscovery & Forensics
- Carriers & Brokers: Experience Reduction in Claims which Improves Loss Ratios
InsureTech Connect, Las Vegas