Beazley Retreats From Cyber Insurance Market amid Rising Claims

One of the worldS largest cyber insurance firms is reportedly⁣ pulling back from the market.

That company, Beazleyis dealing with increasing claims and falling prices, even as competitors double down on policies covering ransomware demands and other cyberattacks, the Financial times (FT) reported Sunday (Nov. 30).

The company recently reported that cyber gross written premiums, a measure of top-line revenue, fell 8% in the nine months to Sept. 30 to $848 million.

“There’s more claims, and they’re more expensive,” chief underwriting officer Paul Bantick told the FT. He said an increase in ransomware attacks and hackings had been driven by increasing geopolitical volatility, as cyber gangs used such ‍tactics to incite distrust.

“What we’re trying to understand is why the market’s not ⁤reacting to those things,” he added.

While Beazley has reduced its exposure, Chubb ⁢ and AIG, two of its ⁣biggest rivals in the U.S. market, have maintained or grown their books, the report added. ‍These diverging⁢ strategies‍ underline volatility in the ⁢nascent sector.

Despite an uptick in claims and