Cyber could impact a re/insurer’s financial strength – AM Best

A growing cyber book could present a risk to a re/insurer’s financial strength if not managed appropriately, according to a new report from Rating agency AM Best. The report, titled Scrutiny of Management Approach Increases as London Cyber Insurance Market Grows, says that while cyber risk has gained significant attention in recent years following a number of high profile hacks and breaches, the aggregate loss potential of cyber and its implications for the London insurance market are less clear because insurers have not yet experienced a systemic cyber event from which they can draw robust conclusions.