Insurance company Beazley has created a new specific marine cyber insurance product targeted at vessel owners and operators, providing insurance for physical damage and loss of hire should a cyber incident impact a vessel’s operational capabilities.
Beazley Cyber Defence for Marine is based around a risk management services approach, designed to reduce the likelihood of a cyber incident occurring and assist operators in demonstrating compliance with forthcoming International Maritime Organization (IMO) guidelines.
By 1st January 2021, vessel owners and operators must have incorporated measures to manage cyber risk into their existing risk management processes, which have traditionally focused on the physical risks to safe shipping operations.
There are three elements to the risk management services included within Beazley’s product: a self-assessment questionnaire; a cyber security workshop; and an onboard cyber survey.
The cover, which focuses on the operational technology implemented on vessels, will be offered alongside Beazley’s other marine products and its existing cyber cover for information technology systems. It can be bought on a standalone basis or as part of a package.
“Ship owners and operators are dealing with the increased threat of cyber-attack as well as the impact of human error and increasingly interlinked vessel operating technology and IT systems,” said Richard Young, Beazley’s head of hull and war.
“Our preparation services reduce the risk of an incident occurring and the indemnity provides owners with clear cover and limits. Should the worst happen and a cyber incident impacts the smooth running of vessels, clients can be confident they are protected with affirmative cyber cover.”