More than half of middle market companies have experienced a cybersecurity failure despite a rise in spending on cybersecurity technology, and most are uninsured
San Francicso, CA (Sept. 19, 2019) – Coalition, the leading cyber insurance company for small and midsize businesses, has announced it has expanded its cyber and technology errors and omissions coverage — previously only available to companies with less than $250 million in revenue — to include middle market companies with up to $1 billion in annual revenue. With cyber crime-related losses expected to exceed more than $6 trillion globally in the coming years, middle market companies now have access to Coalition’s cybersecurity tools as well as up to $15 million of comprehensive insurance coverage backed by Swiss Re Corporate Solutions and Lloyd’s of London.
According to a recent report, more than half of middle market companies have experienced a data breach, with many reporting losses of $1 million to $2.5 million as a result of the incident. Despite the rise in spending on cybersecurity technology, losses from data breaches and cyber crime continue to increase. Coalition’s cyber insurance policies for middle market businesses come with a suite of enterprise-grade cybersecurity tools—including 24/7 security monitoring, anti-ransomware, employee security training, among others—along with access to a dedicated security and incident response team, and comprehensive insurance coverage in the event of an incident. All services are included within the policy premium. With these measures in place, Coalition policyholders report half the number of claims as other businesses with cyber insurance according to data from the National Association of Insurance Commissioners.
“Businesses in the middle market, similar to small businesses, remain severely underinsured and can benefit from Coalition’s novel approach to risk management,” said Joshua Motta, Coalition’s co-founder and CEO. “While middle market companies have substantially greater resources than most small businesses, being 99 percent secure is still 100 percent vulnerable. Today, Coalition protects over 10,000 organizations so that they enjoy the same level of resilience as large enterprises.”
Coalition aims to solve cyber risk for small and middle market organizations by democratizing access to cybersecurity tools that help them remain resilient in a world of dynamic and pervasive threats, along with a financial backstop in the event of a security failure. Coalition’s approach is grounded in:
- Risk Mitigation: Coalition provides free cybersecurity tools to help businesses manage and mitigate cyber risk, and comprehensive cyber insurance to help them recover. Coalition’s comprehensive solution helps companies improve their cybersecurity, mitigate incidents when they occur, and help companies recover financially in the aftermath.
- Superior claims handling and incident response: Coalition’s in-house security and incident response team includes former veterans of the FBI, NSA, CIA, and private security companies. Together with hand-picked partner firms (including incident response, forensics, public relations, legal, and crisis management experts), Coalition stands ready to help organizations quickly recover from a cyber incident.
- Aligned incentives: Coalition is changing the paradigm in cybersecurity by aligning economic incentives for the first time. Unlike a traditional cybersecurity company, Coalition shares customer’s incentives to prevent and mitigate losses.
This offering is now available to middle market companies in the U.S.
1. CISCO 2018 Cybersecurity Special Report: “Small and Mighty: How Small and Midmarket Businesses Can Fortify Their Defenses Against Today’s Threats” (PDF).
Coalition, the cyber risk solution from Joshua Motta and John Hering, combines comprehensive insurance and cybersecurity tools to help businesses manage and mitigate cyber risk. Backed by A+ rated insurers Swiss Re Corporate Solutions, Lloyd’s of London, and Argo Group, Coalition provides companies with up to $15 million of cyber and technology insurance coverage in all 50 states and the District of Columbia. Coalition’s cyber risk management platform provides 24/7 security monitoring, employee training, threat intelligence, expert guidance, among other cybersecurity tools and services to help businesses remain compliant and resilient in the face of cyber attacks. Coalition is headquartered in San Francisco. For more information, visit www.thecoalition.com.
SOURCE: CoalitionTags: Cyber Insurance, launch, small business, United States (USA)