- Willis Towers Watson has launched a new type of cyber insurance cover designed specifically for shipowners called CyNav.
- CyNav, addresses cyber threats in the broadest sense, including losses that occur from cyber-related business interruptions, even when the cyber events originate with third party IT service providers.
- CyNav’s primary focus is to support the continuity of maritime businesses and help shipowners to resume normal operations as soon as possible following a cyber incident.
- The product reaches the industry just as the disruptive potential of malware cyber-attacks on the shipping industry recaptures the headlines.
Willis Towers Watson, a global advisory, broking and solutions company, has unveiled a new type of cyber insurance product for shipowners, reports Ben Abraham for Seatrade Maritime News.
The solution, CyNav, re-designs standard cyber policies to better navigate the risks for ship operators in the digital era.
CyNav: Customized cyber insurance
CyNav addresses the growing need for an explicit marine cyber solution, Willis said. Rather than attempting to adapt pre-existing generic cyber products for ship-operators, Willis has rebuilt the product from the ground up, to specifically address their exposures, it added.
CyNav covers crisis management costs, protecting shipowners from ransomware attacks and data breaches, as well as 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.
It also offers property damage and loss of hire cover, arising from a cyber-attack or satellite communication interference, and loss of hire cover arising from disruption to, or detainment of, a vessel following a cyber-attack.
Coverage also includes fines and defence costs arising from regulatory actions, including those under GDPR and the Network and Information Systems Directive (NISD).
Marine specific coverage
Ben Abraham, global head of marine at Willis Towers Watson, noted the frequency with which cyber events affect the maritime sector. “Many are minor and unreported, but the major cases have caused consequential commercial losses in the hundreds of millions of dollars,” he said.
“CyNav offers a genuinely pioneering marine-specific cyber solution,” he added. “In an environment of increasing ingenuity of cyber criminals and increasing levels of cyber security governance in the maritime industry, CyNav anticipates the protection that shipowners need to mitigate their cyber risk.”
Glyn Thoms, head of finex cyber (GB) at Willis Towers Watson, said cyber insurance should not be a one size fits all offering. “The combination of a deep understanding of the maritime sector and a team of dedicated cyber insurance specialists has led to a product which responds to the risks and concerns that shipowners now face at a time of great technological and regulatory change for the industry,” he said.
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Source: Seatrade Maritime News