A soft hardening in cyber: Claims gaps, Al oversight and simpler policies

#CyberInsurance #CyberMarket #AIRisk
Is the cyber insurance market hardening? In this Peer to Pier interview, Emily Selck, Senior Director and National Cyber Practice Leader at The Baldwin Group, describes what she calls a "soft hardening": small increases in certain segments, especially the smaller middle market, with nothing that feels seismic.

Selck explains where she sees the biggest gap between the cyber coverage clients buy and the risks they face: not limits or wordings, but an understanding of the claims process. Many buyers think of cyber as traditional risk transfer and don't consider what happens once an incident occurs, though she says the industry is getting better at having those conversations.

The discussion also covers AI as both a threat and a tool, how oversight of AI use is still often sitting under the technology team rather than the C-suite, and how affirmative AI coverage, endorsements and policy wording will keep changing. Looking two to three years ahead, Selck expects continued opportunity for MGAs and MGUs and growth in capacity partners, and a more simple but comprehensive cyber policy that helps close the claims gap.

Featuring Emily Selck, Senior Director and National Cyber Practice Leader, The Baldwin Group.

00:00 Introduction
00:32 The state of the cyber insurance market
01:11 The biggest gap between cyber coverage and risk
02:03 AI as a threat and an underwriting tool
03:26 Where the cyber market goes next