PHILADELPHIA, Oct. 24, 2016 /PRNewswire/ -- When companies seek
property insurance, they answer straightforward, objective
questions to obtain the desired coverage. Companies seeking cyber
insurance coverage have to answer complex and subjective questions,
often making it harder for them to secure the coverage they need. A
new advisory from Chubb explores this discrepancy and introduces
Cyber COPE™, a new model for underwriting cyber
insurance that is intended to simplify and improve the assessment
of both cyber and privacy risks.
Cyber COPE™: Transforming Cyber
Underwriting was authored by Russ
Cohen, Director of Cyber/Privacy Services at Chubb. The
advisory outlines how the COPE methodology, used effectively by
property underwriters for nearly 300 years, can be modified to
measure cyber risk. Cyber COPE™, an acronym for
components, organization, protection, and exposures, relies on the
use of simple questions to provide objective and subjective
measurements to help customers and brokers better assess risk,
including business interruption-related losses. It also fosters
information sharing so the industry is better equipped to identify
future cyber and privacy weaknesses in advance.
"Cyber COPE™ has been designed to be simple to use
and to provide the right balance of objectivity and subjectivity
for the underwriter," said Mr. Cohen. "More so, it provides a path forward for the
cyber insurance industry to begin to break down the historic
barriers common with information sharing. By sharing information
and developing a common foundation in which to underwrite
constantly evolving cyber risks, the industry will be better
equipped to provide the proper coverage and solutions to protect
organizations from cyber-related exposures."
The advisory can be downloaded at:
https://www2.chubb.com/us-en/business-insurance/transforming-cyber-underwriting.aspx.
The material presented in this report is not intended to provide
legal or other expert advice. It is presented as informational
only. Readers should consult legal counsel or other technical
experts, as applicable, with any specific questions they may
have.
About Chubb
Chubb is the world's largest publicly traded property and
casualty insurance company. With operations in 54 countries, Chubb
provides commercial and personal property and casualty insurance,
personal accident and supplemental health insurance, reinsurance
and life insurance to a diverse group of clients. As an
underwriting company, we assess, assume and manage risk with
insight and discipline. We service and pay our claims fairly and
promptly. The company is also defined by its extensive product and
service offerings, broad distribution capabilities, exceptional
financial strength and local operations globally. Parent company
Chubb Limited is listed on the New York Stock Exchange (CB) and is
a component of the S&P 500 index. Chubb maintains executive
offices in Zurich, New York, London and other locations, and employs
approximately 31,000 people worldwide. Additional information can
be found at: chubb.com.
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SOURCE Chubb