CPP Group UK’s new product Cyber NOW has been introduced to serve small businesses with up to $25m in revenues
Insurtech firm CPP Group UK has introduced a new cyber insurance product, dubbed Cyber NOW, for small and medium enterprises (SMEs).
CPP Group UK said that the new product has been designed to cater to the needs of smaller SME businesses which experience a high risk of cyber-attacks, but rarely have an appropriate insurance cover in place.
Cyber NOW, launched on the insurance administration and trading platform of Acturis, is offered by CPP Secure and is underwritten at Lloyd’s, carrying ‘A rated’ financial status.
It is also the first product launched by the firm since its recent entry into the insurance broker market and follows the acquisition of Business & Domestic Insurance Services.
Cyber-crime costs more than $1bn annually
According to CPP Group UK, cyber-crime cost is estimated to be more than £800m ($1.03bn) annually. SME organisations are particularly vulnerable to cyber-attacks, as they have lower capital reserves and minimal access to professional IT resources, resulting in business interruption, loss of revenue and reputational damage and the possibility of incurring heavy regulatory fines.
Cyber NOW, the new cyber insurance policy offered by CPP, is claimed to provide an affordable cover to SMEs with revenues of up to £20m ($25.8m).
Unlike other cyber insurance policies, Cyber NOW is touted to have been crafted with substantially reduced question set and uses simple, jargon-free language in all its documentation, ensuring accessibility for SMEs and brokers alike.
The policy also offers SME customers with direct access to a 24/7 helpline, free antivirus software, and cloud-hosted backup storage.
If a cyber-attack incident were to occur, the policy will provide access to a specialist IT forensic company to investigate what data has been compromised. The public relations support will also be available to mitigate against potential reputational damage.
Businesses will be insured against the liabilities arising from a cyber-attack and any related breach of data privacy legislation.
The insurtech firm has claimed that the policy will offer selectable indemnity limits between £50k and £2m, with lower than market-norm excesses and competitive rates, particularly for smaller businesses.
CPP Group UK managing director Michael Whitfield said: “More than half of malware attack victims are small businesses, and the consequences and costs which arise from these attacks are almost always very damaging, sometimes to a fatal extent.
“Attacks by cyber criminals are becoming more sophisticated as every day passes and all businesses need help if they are to be able to counter the threats posed to them. Despite this, many SMEs treat cyber security as low priority.
“Our Cyber Insurance policy will make it easy for brokers to offer their smaller SME clients a simple policy, which includes important cover at a very affordable price. Making it available through Acturis allows us to reach the extensive list of specialist commercial insurance brokers using the platform and we look forward to partnering with them to protect at-risk SMEs.”