SolCyber partners with Converge to redefine cyber insurance (Image Credit: Sebastian Herrmann on Unsplash)SolCyber has partnered with cyber insurance provider Converge. The two companies say they are aiming to redefine cyber insurance for the mid-market. The move comes as attacks on mid-sized enterprises soared over the last few years despite their investment in cybersecurity.

Scott McCrady, CEO at SolCyber (Image credit: LinkedIn)
Scott McCrady, CEO at SolCyber

Scott McCrady, CEO at SolCyber, said, “When you have great security, why isn’t that recognized by the insurance industry? We want to connect the two and solve the broader risk challenge for organizations.

“It’s simple, keep customers protected with our Foundational Coverage, and reward that effort with easy and cost-effective cyber insurance.”

What are SolCyber and Converge doing?

Both companies say that one problem facing the mid-market is the complexity of the cyber insurance process. Insurers are finally beginning to understand the market and, as such, are demanding much more information before writing policies.

For the insurers, this is about making sure they limit their liability by matching policy costs with the risk posed by customers. Unfortunately, this one-sided approach does not take into account the work many businesses are doing to manage risk.

What SolCyber and Converge are doing is providing a blended solution. SolCyber is an MSSP and has built out a set of cybersecurity services. Those services are broken into four streams. One stream is human services. The next is a set of functions they call the basics. Beyond that are two streams of curated technologies.

The curated technologies are listed by function, not by product name. These are technologies that SolCyber works with from other vendors. However, it doesn’t seem to give a list of who it works with. That’s important as it requires integration into its services to get the most out of them. It’s also not clear if it OEMs those technologies.

These technologies are then assembled into two blocks, foundational coverage and extended coverage. According to SolCyber, if you take its foundational technologies, you get a 30% discount on cyber insurance. It doesn’t say if there is a greater discount for customers taking the extended coverage.

Part of a wider cyber insurance offering

All of this is part of a wider cyber insurance plan from SolCyber. In addition to this new announcement, it also works with MarshMcLennan. It is a member of the Marsh Cybersecurity Marketplace Services that was launched in April this year.

That marketplace, aimed currently at US clients, is designed to make it easier for clients to get cyber insurance. Part of that is Marsh doing deals with MSSPs it trusts to offer the right services. End customers taking those services will then find it helps to speed up the process of onboarding new cyber insurance.

This is important for everyone. For Marsh, it means it is writing policies that make sense, and for the end customer, it means lower costs and cyber insurance coverage. For the MSSPs, it is a route to a new income stream and a chance to expand their business.

Enterprise Times: What does this mean?

Anything that improves access to cyber insurance, especially for mid-market companies, is to be welcomed. Many companies are overpaying for cyber insurance and have to jump through too many hoops to get it. The key here is that preparation and trust in controls come from the relationship of SolCyber with Converge. That then leads to a reduction in the cost of cyber insurance.

CJ Dietzman, who joined Marsh in January as Cybersecurity Marketplace Leader, says that Cybersecurity is a $160 billion global marketplace with thousands of vendors. If SolCyber can convince companies it is the right choice to provide the technical controls for their cyber insurance needs, this could be very profitable for it.

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