NAIC Report Show 2020 Premiums Grew 29.1% as Cyberthreats Rise
The NAIC’s annual Cybersecurity Insurance and Identity Theft Coverage Supplement is the Association’s response to the ever growing cyber insurance marketplace across the country. Now in its fourth edition of the report, the NAIC notes the continuing importance of this insurance line to insurers. The sheer amount of personal information that the insurance industry handles with respect to both policyholders’ financial and personal health information also makes the insurance industry a target of cybersecurity issues.
Premium and Market Share
In a clear-cut sign of the growing importance of the cyber insurance market within the insurance industry, the NAIC reports that this marketplace grew by approximately $4.1 billion in the past year, translating into a 29.1% increase.
“State insurance regulators recognize cybersecurity as one of the most important topics for the insurance sector and businesses today,” said David Altmaier, NAIC President and Florida Insurance Commissioner. “The NAIC is committed to developing new ways to monitor this evolving market to better address cyber risk.”
The NAIC gather its data from the Cyber Insurance Report’s Cyber Supplement, along with the alien surplus lines data gathered from the NAIC’s International Insurance Department. According to that data, insurers writing standalone cybersecurity insurance products reported $2.58 billion in direct written premiums, while those writing cybersecurity insurance as part of a package policy reported roughly $1.49 billion in direct written premiums.
The Top 20 Cyber Insurance Companies
The following is a ranking of both the top individual insurers for Standalone Cyber as well as Packaged Cyber Insurance Products.
| 2020 Rank | 2019 Rank | Insurer | Direct Written Premium | Loss Ration W/DCC | Market Share |
|---|---|---|---|---|---|
| 1. | 1. | CHUBB LTD GRP | $404,144,104 | 61% | 14.7% |
| 2. | 2. | AXA INS GRP | $293,025,192 | 98.2% | 10.6% |
| 3. | 3. | AMERICAN INTRNL GRP | $228,424,711 | 100.6% | 8.3% |
| 4. | 4. | ST PAUL TRAVELERS GRP | $206,817,208 | 85.5% | 7.5% |
| 5. | 5. | BEAZLEY GRP | $177,746,192 | 47.9% | 6.5% |
| 6. | 6. | AXIS CAPITAL GRP | $133,549,784 | 46.2% | 4.8% |
| 7. | 7. | CNA INS GRP | $119,612,168 | 105.7% | 4.3% |
| 8. | 10. | FAIRFAX FINANCIAL | $108,687,558 | 55.7% | 3.9% |
| 9. | 11. | HARTFORD FIRE 7 CAS GRP | $102,864,503 | 25.4% | 3.7% |
| 10. | 8. | BCS INS GRP | $86,582,699 | 59.1% | 3.1% |
| 11. | 14. | TOKIO MARINE HOLDINGS INC GRP | $78,160,355 | 51.1% | 2.8% |
| 12. | 12. | SOMPO GRP | $72,588,641 | 114.1% | 2.6% |
| 13. | 13. | ZURICH INS GRP | $64,430,818 | 40.4% | 2.3% |
| 14. | 9. | LIBERTY MUT GRP | $41,856,727 | 30% | 1.5% |
| 15. | 18. | APOLLO GLOBAL MGMT GRP | $39,338,993 | 29.6% | 1.4% |
| 16. | 15. | BERKSHIRE HATHAWAY | $37,366,878 | 25.8% | 1.4% |
| 17. | 19. | MARKEL CORP GRP | $29,736,405 | 38% | 1.1% |
| 18. | 28. | EVEREST REIN HOL INC | $28,173,404 | 48% | 1% |
| 19. | 17. | CINCINATTI FNCL GRP | $24,888,476 | 24.6% | 0.9% |
| 20. | 25. | SWISS RE GRP | $23,654,519 | 42.6% | 0.9% |
