In the next series of newsletters we will be looking specifically at some changes to our Fidelity & Computer Crime Insurance Policy wording (effective from renewal starting on 1 July 2019) and proposal forms. We will explain the reasoning behind these changes and will also share examples of recent FG claims that we have received.
We have noted a significant increase in cyber fraud across the market, resulting in a surge in the number of claims being paid out under our Fidelity and Computer Crime Policy. This has in some instances necessitated a review of our rates and an increase in premium to ensure the cover we offer remains sustainable.
In line with this we have revised our proposal form to provide us with additional information necessary for us to correctly underwrite each risk.
The form can simply be broken down into three sections. The first part relates to the body corporate and the questions relate to the running of the scheme and the minimum requirements which the scheme must adhere to in terms of the Act.
The second part relates to the managing agent and the questions relate to the processes and controls that they have in place to ensure the minimum requirements in terms of good business practice ensuring that sound financial controls are in place.
Part three relates to previous insurance and claims history for both the scheme and the managing agent.
For ease of reference on the policy wording changes please follow the link to the summary of changes policy wording changes that highlights the said changes.
In the next newsletter we will look at examples of recent FG claims that we have received.
Please feel free to get in touch should you have any queries.