PRODUCT: Paladin Cyber commercial cyber insurance policy
COMPANIES: Paladin Cyber, with State National paper and reinsurance led by Markel
BEST RATING: A (Excellent), Size IX
AVAILABILITY: Coverage is available through licensed agents and brokers. A broker agreement is required.
FOCUS: As leaders of small and midsize businesses recognize the significant threat cyber risk poses to their livelihoods, they need affordable insurance protection that involves minimal upfront process, management and staff time.
The Paladin Cyber platform and commercial cyber insurance policy are designed to respond to the specific, critical concerns of individual small businesses, “many of which have historically gone without standalone cyber insurance,” says Josh Riley, head of insurance, Paladin Cyber.
Between broad first- and third-party coverages and efficient risk management tools, the Paladin Cyber commercial cyber insurance policy is “a cohesive program that emphasizes risk mitigation, streamlines the underwriting process, and delivers an admitted risk transfer contract that fits neatly within the overall insurance program of a small business,” Riley adds.
COVERAGE DETAILS: The admitted policy—which contains “no vague, trap-door exclusions or needlessly narrow definitions,” Riley says—provides first- and third-party coverage for a wide range of costs associated with hacking attacks, breaches and other cyber-related incidents, including:
- Forensic expenses to determine causality, as well as quantify loss and remediation costs.
- Privacy notifications, call centers, employee overtime, credit monitoring and other expenses related to handling a breach.
- Expenses associated with addressing extortion threats.
- Data replacement or restoration.
- Business income and extra expense associated with downtime arising from cyber incidents.
- Limited public relations expenses.
- Computer fraud, including loss of funds resulting from a network breach.
- Payment card industry fines and penalties.
- Cyber and privacy defense and liability costs.
Businesses that enroll in Paladin Cyber’s software solutions and services also gain access to tools such as phishing inbox protection, cross-site-scripting protection and public WiFi protection, as well as a browser content filter, a password manager, and other qualified resources for cyber education and incident response.
UNDERWRITING: Paladin offers competitive minimum premiums and limits ranging from $50,000 to $1 million “for companies that want to address their potential cyber risks, but have limited budgets to do so,” says Riley, who notes that the application consists of only five questions. “With our fully automated underwriting process, we can generate a bindable quote instantly.”
MINIMUM PREMIUM: Varies by risk.
TARGET: Although Paladin’s underwriting appetite extends up to insurance buyers with $100 million in annual revenue, Riley says the company is eager to serve the needs of businesses with less than $100,000 in annual revenue.
“The Paladin Cyber insurance product, just like the cybersecurity tools that surround it, is built with the specific needs and concerns of small businesses in mind,” Riley explains.
COVERAGE TERRITORY: The admitted policy is currently available in Arizona, Colorado, Nevada and Oregon, with approval pending in several other states. Agents and brokers can offer the Paladin cyber risk management software suite to clients in all states.
CONTACT: Josh Riley, head of insurance, Paladin Cyber; 545 Sutter St., #405, San Francisco, CA 94102; 703-472-1292.
Jacquelyn Connelly is IA senior editor.