Beazley, a specialist re/insurer, shared its positive outlook on the cyber reinsurance market and its resilience in cyber underwriting following the recent CrowdStrike IT outage. The company aims to develop a vibrant cyber reinsurance market with the help of insurance-linked securities (ILS) investors. Beazley is a leading sponsor of cyber catastrophe bonds and has reported a strong performance in its cyber underwriting business for the first half of the year.
CEO Adrian Cox emphasized the resilience of Beazley’s approach to underwriting cyber risk during the world’s largest IT outage. Despite the challenges posed by the CrowdStrike event, Beazley’s cyber underwriting remained robust, reassuring holders of its cyber catastrophe bonds. The company sponsored several cyber cat bond issuances, including the PoleStar Re Ltd. (Series 2024-1) and PoleStar Re Ltd. (Series 2024-2) bonds.
Beazley’s profitability in cyber underwriting for H1 indicates that the losses from the CrowdStrike event will be minimal. The company’s CEO also highlighted its success in the catastrophe bond market, particularly in cyber risks. Beazley’s efforts to cultivate ILS investor appetites in cyber risks are seen as crucial for the development of the cyber insurance industry.
By launching cyber catastrophe bonds and property catastrophe bonds, Beazley is paving the way for a vibrant cyber reinsurance market. The company’s commitment to managing and modeling cyber risk has attracted a specialist investor base eager to invest in cyber risks. These initiatives will benefit the entire cyber insurance industry.
For more information on cyber cat bond transactions, including private cat bond deals and 144A cyber cat bonds, you can explore the Deal Directory by filtering transactions by peril to focus on cyber cat bond deals. Beazley’s positive outlook on cat bonds and cyber underwriting underscores its dedication to enhancing resilience in the cyber insurance market.