A series of high-profile events in 2021 has reinforced re/insurers’ concerns about the systemic potential of cyber attacks, and the rapid rise of ransomware events has pushed re/insurers to reassess rates, terms and conditions and underwriting standards. In this context, the industry requires innovation – both in risk assessment tools and aggregation methodologies – to support the development of cyber capacity with a goal of long-term, stable growth.
Through leveraging Guidewire’s extensive cyber data listening and modeling collection capabilities, Aon will be able to more effectively model client portfolios and develop new solutions that directly address specific needs around underwriting and reinsuring cyber risk, while helping to mitigate their key exposures, including cyber accumulation and ripple effects – such as business interruption, higher premiums and new legislation.
Jon Laux, head of cyber analytics for Aon’s Reinsurance Solutions, said: “The risk of ransomware and other types of cyber attacks has risen dramatically, and so we are augmenting our capabilities to bring even more timely and actionable insights to our clients. In this regard, Guidewire Cyence provides us with advanced analytical solutions to measure the financial impact of cyber risk, mitigate current and future incident trends and help clients make better decisions around pricing, risk selection, aggregation and management.”
“We admire Aon’s use of Cyence to further its work to help clients reduce volatility and build more resilient businesses, governments and communities,” said Paul Mang, chief innovation officer, Guidewire Software. “We are pleased by their vote of confidence in our cyber capabilities and look forward to infusing data analytics to help Aon’s clients navigate the volatility in a rapidly changing cyber insurance and reinsurance market.”