Hiscox-backed SME cyber MGA launched

A new MGA, backed by insurance giant Hiscox has been launched to deliver a one-stop shop cyber cover for SMEs.

The move comes as the UK businesses continue to buckle under the weight of cyber attacks, many from organised gangs outside of the European Union.

Cybercovered.com describes itself as an online MGA, and while it is looking to engage with SMEs on a direct basis it is keen to work with brokers who are seeking to source cyber cover for their clients.

Partner and co-founder of the company, Dennis Culligan, told Insurance Times cyber attack and crime is a major risk for SMEs.

“At present in the UK 52% of cyber attacks affect SMEs, and there is a new attack on average every 40 seconds,” he explained. “At present the vast majority of the insurance industry’s response has been aimed at the larger firms which have IT departments and complex systems and with it some degree of defence.

“What we have done is make cyber cover simple for SMEs. It will be a quick and clear process to go onto the website to apply for cover and the cover will start as soon as SME has completed the application form. Secondly what we have created in terms of cover is a one-stop shop for SMEs. What we provide is a comprehensive cover which will remove any concerns for the client.”

Culligan who has been in the industry for over 30 years, added that the firm is keen to work with brokers if they are seeking a solution for clients.

“There has been a great deal of talk about the threat to UK business from cyber-crime, “ said Culligan. “There is now a significant demand from brokers’ clients for insurers to deliver solutions to the problems they face.

“It is a complex threat and one which the industry recognises. What we will do is deliver the ability for brokers to work with their clients to provide the responses they have been looking for but have not felt were currently available.” 

Culligan added that the support of Hiscox, given its reputation for innovation, was a “clear endorsement” of the aims of the new company.

“We have been working on a pilot and the response have been better the we could have expected. The clients have been delighted and brokers have been handed another opportunity to drive their businesses while making sure they remain relevant to their clients.”

“Our plan is to formally launch the company at the end of the month in London at which point we will begin to engage with SMEs and brokers across the UK who are looking for a robust and affordable cyber solution.”