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Splitting cyber perils could have a ‘transformational effect’ on cyber capacity: Lockton Re

Commercial insurance broker Lockton Re’s All Risk Cyber (ARC) Challenge report said there are too many risks being covered by a single offering. Cyber perils should be divided into first, third and systemic risks, lodging each with those reinsurers most comfortable with them. Patrick Bousfield, senior broker and chair of the Lockton Cyber Centre said the division would also make it more difficult to build new capacity aligned with varied reinsurance appetites.

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