VP of Insurance Sales and Relationship Manager at Huntington, Erin Riley, shares her approach to recommending cyber risk insurance for small businesses, and the latest market trends.
Erin Riley, Vice President, Insurance Sales & Relationship Manager at Huntington
1. Do you find there is more education required when advising your customers on cyber risk management versus other risks?
Cyber risk management does require more education. The policy forms and coverage provided is complex and the language used varies from each carrier. There is potential for gaps in coverage if offered coverage is not fully understood, so an in-depth discussion and full comparison when reviewing options is crucial. Working with an agent that understands cyber risk helps business owners make educated decisions around cyber risk management.
2. What's your approach to recommending cyber risk coverage? Is it something that makes sense for all small business owners?
When available, our agency recommends cyber risk coverage to all of our small business customers. There are so many options available! Those that have never had a cyber policy can opt to purchase a standalone policy, or add a limited amount of coverage to an existing Business Owner’s Policy. This may be a great solution when businesses are just getting started.
3. What are some recent trends or changes in the cyber risk insurance market that agents and their customers should be aware of?
There is an idea out there that cyber liability insurance is too expensive or difficult to obtain. The Council of Insurance Agents & Brokers’ Property/Casualty Market Report recently said that premiums for cyber insurance in Q2 rose 3.6%, and underwriters were expressing a stronger appetite for the line of business. This is encouraging! Small business owners should not let the fear of a high cost or eligibility concerns prevent them from getting a quote. I encourage all business owners to discuss coverage options as well as risk mitigation efforts they may want to consider with their agent.
Small commercial insurance applications can originate from the Veruna Agency Management System, launch into the Bold Penguin Terminal, and return quotes seamlessly to Veruna
A guide for insurance agents
The current hard market insurance landscape is among the biggest challenges facing agents into 2024. Read the following tips to help navigate it successfully.