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A public-private cyber catastrophe reinsurance pool in the United Kingdom would help improve the country’s competitiveness as an attractive economy for cyber business, as reported by Computer Weekly.com citing a Long Finance report by Z/Yen Group Ltd., co-sponsored by APM Group Ltd.
The cyber catastrophe reinsurance plan could be an extension to the existing Pool Reinsurance Co. Ltd. pool for terrorism cover or could be a different program.
"The report highlights the need to be prepared, and reinsurance is a key part of that preparedness. The insurance industry works very well at pooling small risks and avoidance of fairly significant risk with government support, but the whole area of very high-severity and very high-frequency risk is an area that government reinsurance is required for," said Z/Yen Group executive chairman Michael Mainelli.