The growing threat of cyber-attack on the power and utilities sector has prompted the creation of a new cover from broker Willis Towers Watson.
It has revealed the launch of CyNat, a new type of cyber insurance cover designed specifically for Power & Utilities companies.
The broker said the new product was designed to address the growing concerns in the power & utilities sector for solutions which address their specific risk issues.
“CyNat has been developed to specifically cover the key industry exposures rather than trying to modify pre-existing generic cyber products,” it explained. “Power and utilities companies are an attractive target for cyber criminals due to the strategic importance of the sector, and the growing reliance on technology means attacks can lead to significant financial damage.”
Graham Knight, Global Head of Natural Resources at Willis Towers Watson explained: “Our clients are clearly concerned by the increasing number of cyber events impacting the Natural Resources sector and the increasing cost of these events. CyNat offers a genuinely pioneering cyber solution built specifically for Power &Utilities businesses in the initial launch phase and will be followed with tailored solutions for other Natural Resources clients. In the context of the increasing sophistication of cyber criminals and greater levels of cyber security governance in the sector, CyNat delivers the flexible protection that companies need to mitigate their cyber risk.”
The cover has a number of key features:
Crisis management costs cover that protects companies in the face of ransomware attacks and data breaches.
Business interruption cover in the event of a cyber incident that disrupts operations (including where the incident occurs at a third-party IT service provider upon which the business relies).
Property damage and loss of hire cover arising from a cyber-attack.
The opportunity for companies to amend the CyNat covers to create an insurance solution which is completely tailored to their own needs.
Cover for fines and defence costs arising from regulatory actions, including those under GDPR and the Network and Information Systems Directive (NISD).
“As the financial impact of cyber incidents continues to increase and the ‘silent cyber’ cover in traditional cover is being reduced, CyNat’s clear and flexible approach is designed to plug any remaining cyber gaps,” added WTW.