Gallagher Re Targets APAC Cyber Sector with Adaptive Reinsurance Structure
Tier 1 reinsurers are showing early interest in the Asia-Pacific (APAC) cyber market as Gallagher Re introduces a new flexible cyber reinsurance framework. This structure supports various reinsurance models, including facultative and treaty, and covers products like cyber, technology errors and omissions, and cyber property damage.
Meeting APAC Market Needs
Gallagher Re designed the framework to align cyber capacity with demand across diverse market segments such as personal lines, small and medium enterprises, midmarket, and large corporations. It aims to create tailored cyber solutions that suit different market conditions and client requirements.
Flexible and Modular Structure
The framework accommodates different formats including white labeling, facultative, and treaty. It provides reinsurers and cedants with a modular system adaptable to local conditions.
- Minimum $15 million line expected for facultative reinsurance
- At least $10 million expected for white labeling and treaty placements
Growth Strategy in Cyber Market
Gallagher Re stated that growth in the cyber market depends on leveraging international markets and developing new products rather than concentrating solely on saturated regions.
The company emphasized that the framework helps the industry to “mine for growth” rather than “pan for growth,” promoting a sustainable development of cyber capacity.
Gallagher Re plans to foster cyber market expansion by offering adaptable reinsurance solutions tailored to the evolving needs of APAC clients.
Author's summary: Gallagher Re introduces a flexible cyber reinsurance framework designed to meet diverse APAC market demands, driving sustainable growth through tailored, modular solutions.