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A.M. BestTV: Analyst Discusses A.M. Best Rating Considerations on Cyber LiabilityIn this A.M.BestTV episode, A.M. Best Senior Financial Analyst Fred Eslami explains how the company continues to monitor and focus on insurers' treatment of cyber liability exposures. Click on http://www.ambest.com/v.asp?v=cyber216 to view the entire program. A recent Best's Special Report, titled "A.M. Best's View on Cyber-Security Issues and Insurance Companies," states that while A.M. Best still considers natural catastrophe losses to be the primary threat to the financial strength and credit quality of property/casualty insurers, the increasing frequency and severity of cyber attacks and difficulty in measuring the risk pose a substantial threat to the insurance industry. "In the next few years, there are going to be nearly 50 billion devices connected to the Internet; therefore, expectation is that frequency and severity are going to increase," said Eslami. "With this realization, companies spent $70 billion in 2014 and $75 billion in 2015 to protect and address cyber risk," continued Eslami. Eslami said the challenges facing companies to increase their cyber protection include a lack of results-oriented data to support pricing and reserving, an evolving regulatory and legal environment and rapid transformation of legacy systems. To access a copy of the special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=243994. Recent episodes of A.M.BestTV include:
A.M. Best is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com. Copyright © 2016 by A.M. Best Company, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on businesswire.com: http://www.businesswire.com/news/home/20160208006183/en/ |