WTW - Berkshire Hathaway's Ajit Jain Cautions On Cyber Insurance Amid Risks: 'Each Time You Write A Cyber Insurance Policy You Are Losing Money' | Benzinga
Cyber insurance has become a very fashionable space these days, said Ajit Jain, the vice chairman of insurance operations for Berkshire Hathaway Inc. (NYSE:BRK) (NYSE:BRK). Over the last few years, it has become at least a $10 billion market globally.
Speaking at Berkshire Hathaway’s annual shareholder meeting in Nebraska, Omaha, on Saturday, Jain said that the profitability of cyber insurance is also reasonably high, around 20% of the total premium.
However, he said Berkshire tends to be very careful when considering cyber insurance liabilities because:
- Knowing the quantum of losses subject to a single occurrence and the aggregation potential for cyber losses is tough.
- According to Jain, if some cloud operations come to a standstill, the aggregation losses can be huge, and not being able to ...