Insurer Hiscox launches technology risk coverages

NEW YORK—Specialty insurer Hiscox Ltd. on Tuesday launched a new suite of products aimed at covering technology-related risks.

The Hiscox technology portfolio has eight individual modules. They include a Breach Cost product that provides coverage for costs related to data breaches, a Cyber Business Interruption plan to compensate businesses for hacker-related losses, and a Cyber Extortion module that covers the cost of hiring a security risk firm to handle the situation as well as any the final ransom paid to minimize disruption.

“The risk profile for a business has changed dramatically in recent years, whether you are a provider of technology products and services or simply a consumer of them,” Jim Whetstone, U.S. technology and privacy manager at Hiscox, said in a statement. “As evidenced by our claims statistics, too many forms exclude the very elements of coverage our policyholders need the most.”

The suite was developed with the assistance of the company's brokers and is intended to provide clarity to complex subject, Mr. Whetstone said in the statement.

“It was critical that we make the product clear and simple for brokers and our clients,” he said.