Many players within the insurance industry are beginning to turn to captive insurance companies to address the mounting demand for cyber security. Captive insurance has the potential to provide a unique platform to custom tailor insurance cyber insurance policies. Further, specialized captive insurance can potentially allocate resources from larger parent groups to create dynamic risk mitigation policies for the constantly evolving risks cybercrime presents.
Frank Seneco, president of Seneco & Associates, believes captive insurance companies “gives senior executives the opportunity to create customized risk management solutions.”
Captive insurance itself provides the “possibility of getting highly customized coverage and lower pricing,” asserts Joseph McNulty, partner of FFO Business Management & Family Office.