Supported by a network of internationally known AA-rated insurers, HITRUST, a Texas-based pioneer in information security assurances for risk and compliance management, formally announced the creation of an innovative cyber insurance consortium in partnership with Lloyd’s of London.
Certain sources claim that the claimed first-of-its-kind shared risk facility shows up on the scene with rates for HITRUST-certified companies globally and the capacity to transform the cyberspace with exclusive, market-leading coverage. More on the same would explain how it connects relevant and dependable cybersecurity practices with customized insurance solutions to set a whole new standard for motivating and safeguarding trustworthy enterprises.
Given that less than 1% of HITRUST-certificated entities reported a breach over the past two years, we have to consider how important such a development is. This shows the industry-leading efficiency of HITRUST assurance program in terms of producing quantifiable risk reducing results.
Still another point of interest here is how the recently established consortium with Lloyd’s of London aggregates more capital from a worldwide network of Moody’s identified AA-rated insurers to create an innovative shared risk facility. This kind of initiative makes use of the established link between HITRUST certification and effective and quantifiable risk control. This helps insurance companies boldly present improved and more consistent insurance solutions.
Not only that, the mentioned facility is also built to scale as more insurers join, so ensuring better capacity to meet the changing needs of HITRUST-certified companies all around.
Blake Sutherland, Executive Vice President of Sales and Business Development at HITRUST, said “the formation of this consortium validates the effectiveness of the HITRUST methodology in reducing cyber risk and enabling consistency and transparency measuring residual risk.” “By appreciating the strict and quantifiable security policies of companies with HITRUST-certifications, this facility helps insurers to boldly present improved coverage choices with more competitive rates, therefore benefiting both companies and insurers.”
Seeing the new consortium from a more feature-specific perspective, we start from its promise to lower insurance premiums. Users that opt to rely on HITRUST’s latest innovation arrive anticipating exclusive market-leading pricing with more advantageous conditions and significant discounts that demonstrate an organization’s dedication to solid cybersecurity procedures, including a starting credit of 25% on premiums.
We then have the possibility of a streamlined insurance process. Basically, the concept here is to minimize duplicate questionnaires and long application periods based on data from the HITRUST certification; some policies being underwritten in just one week.
Turning now to the availability of thorough coverage, policies are constructed on a single-page exclusion model to provide clarity and adaptability, thereby enabling a wide range of organizational needs, while also reflecting this in their construction on a single-page exclusion model. You also have scalable protection available. This includes appreciating improved capacity as the consortium expands, thereby enabling coverage to remain flexible enough for the demands of a company evolving with time.
Highlights would be the acknowledgement of security expenditures by consortium. Expanding on that, the industry’s most trusted risk management system will essentially show partners, clients, and authorities that your company satisfies the greatest cybersecurity standards.
Among other things, HITRUST has created a secure API which will allow insurers to obtain comprehensive information about an organization’s HITRUST r2 certification via the Results Distribution System (RDS), therefore enabling its new consortium. Like you might expect, this arrangement distances itself to allow insurers to get consistent, standardized assessment data, therefore enabling a more accurate and efficient underwriting procedure.
“We are able to provide customized cyber insurance solutions that not only recognize but also reward companies for their commitment to strict security standards by including HITRUST certification into our underwriting process,” said Josh Ladeau, CEO of Trium Cyber, the underwriting lead for the effort. “This cooperation represents a major turning point in bringing cybersecurity excellence into line with thorough insurance coverage.”
