Cyber insurance in emerging markets slower than expected - RSA

Emerging markets require greater insurer-broker cooperation to maximise purchasing potential.

This is according to RSA’s regions director for the north, Lee Mooney, who says they should in theory be able to sell a cyber policy for every one of their customers.

But Mooney says the take up of cyber, and other emerging markets such as directors and officers liability insurance, has been slower than expected.

Mooney said: “If you look at the cyber placement across the industry it’s not as active and aggressive as you’d expect it to be given all the stories that you hear about, but I think that will come over time.

“You can see with SME the gradual adoption of D&O and the gradual adoption of cyber. It takes a little bit of time for people to get comfortable with it.

“But in theory we should be selling one for every customer we’ve got if it’s relevant and I think we will get there shortly. But for the moment we are still in that education and understanding stage.” 

Education

RSA have been holding cyber events for brokers across the UK, many of which have been oversubscribed.

Insurance lawyers have already stated they are expecting a rapid uptake of D&O insurance following the start of new GDPR rules.

And Mooney says that education across all regions of the country will be key to driving increased sales of cyber products.

“Insurers and brokers need to work together on emerging trends,” he said. “Cyber, D&O and financial lines in particular we are seeing lots of appetite for education, but we are not quite seeing the appetite for purchasing and that’s the thing we need to look more closely at.”