Hiscox launches new compliance, fraud, and reputational risk cover

13th May 2019

- new protection added to existing Security Incident Response product

London, UK (13 May, 2019) – Hiscox, the specialist global insurer, has launched a newly enhanced version of its Security Incident Response (SIR) product, to provide additional protection for ‘business integrity risks’ including corruption and fraud. The new SIR policy also includes cover for expenses incurred by a business when dealing with an insured event. 

SIR – originally launched in 2017 – supports businesses in the management of a range of security and crisis events from the impact of terrorism, through to extortion risks. The addition of ‘business integrity risks’ to the policy is a response to the growing threat to multi-national businesses from risks such as bribery, agent misconduct, contract and procurement fraud, embezzlement, social engineering and money laundering. 

As well as business integrity risks, the revised wording for SIR now also provides reimbursement for expenses incurred during a crisis; this could include temporary physical security measures or the deployment of staff to an incident location. The cover also includes a new, fourth trigger, which responds on the ‘allegation’ of an insured event having occurred. This complements the pre-incident response that SIR provides to clients, enabling them to use the policy to mitigate an incident at its earliest stages, or even to help avoid an insured event altogether. SIR continues to provide clients with exclusive access to leading crisis management consultancy Control Risks.

Commenting on the launch of the new policy wording, Gareth Bateman, Product Director for SIR, says: “Businesses are dealing with an ever-changing risk and security landscape both at home and abroad. We have recognised the evolution of these threats and have enhanced our successful SIR product to provide cover for 19 additional insured events, with a focus on business integrity risks such as bribery and corruption, embezzlement, and financial statement fraud. The growth in regulatory action against businesses globally reflects the added risks to businesses of experiencing a damaging prosecution related to an incident such as internal bribery – our clients have told us this is an important area of protection for them. 

“SIR is about the readiness, response and recovery for organisations when faced with a crisis or complex security issue. The policy ensures peace of mind for senior management that they will have access to the resources – including the services of Control Risks – needed to deal with unforeseen events, and to successfully safeguard their business, employees, and their reputation.”

Ends

Notes to editors 

About SIR

Security Incident Response (SIR) helps businesses protect their people, operations, brand, and reputation by complementing existing business security resources or, where necessary, acting as a standalone security function.

SIR equips organisations of any size – from small and medium sized businesses up to larger multi-nationals – with affordable and easily accessible incident response, crisis management, strategic advice and recovery services for a wide range of threats including criminal, political, terrorism, political violence, and business integrity risks as well as information risks, kidnap, detention and extortion risks. It also provides the resources to help businesses build sophisticated resilience programmes to prevent incidents occurring.

The policy provides exclusive access to leading global risk consultancy Control Risks and includes cover for all of Control Risks’ costs to help businesses manage a crisis, including the deployment of response consultants and technical experts, as well as post-incident reporting and remediation to ensure a smooth return to business as usual.

About Control Risks

Control Risks is a global risk consultancy specialising in political, security and integrity risk. The company enables its clients to understand and manage the risks of operating in complex or hostile environments. Through a unique combination of services, wide geographical reach and by adopting a close partnership approach with clients, Control Risks helps organisations effectively solve their problems and realise new opportunities across the world. www.controlrisks.com 

About the Hiscox Group

Hiscox is a global specialist insurer, headquartered in Bermuda and listed on the London Stock Exchange (LSE:HSX). Our ambition is to be a respected specialist insurer with a diverse portfolio by product and geography. We believe that building balance between catastrophe-exposed business and less volatile local specialty business gives us opportunities for profitable growth throughout the insurance cycle. It’s a long-standing strategy which in 2018 saw the business deliver a profit before tax of $137.4 million in a challenging year for insurers.

The Hiscox Group employs over 3,300 people in 14 countries, and has customers worldwide. Through the retail businesses in the UK, Europe, Asia and the US, we offer a range of specialist insurance for professionals and business customers as well as homeowners. Internationally traded, bigger ticket business and reinsurance is underwritten through Hiscox London Market and Hiscox Re & ILS.

Our values define our business, with a focus on people, quality, courage and excellence in execution. We pride ourselves on being true to our word and our award-winning claims service is testament to that. 


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